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Stripping a second mortgage may be tip for keeping home

On Behalf of | Dec 2, 2014 | Firm News, Loan Modification vs. Bankruptcy

The recession led to a situation where many homeowners were in a position where they were paying on homes that were worth less than what they owed. This situation meant that many of those Florida homeowners could not simply sell their homes when the mortgage payment was too much to handle. For those who have a second mortgage to pay also, finding ways of stripping a second mortgage may be one way to keep a home and avoid the dreaded home foreclosure.

There are circumstances where filing Chapter 13 bankruptcy can open the door to stripping that second mortgage. This option can result in a homeowner keeping a home under the original terms of a mortgage. While this may not be the best option for everyone, it may help countless homeowners in need if they were approved for the process after a valuation of property.

Aside from stripping a second mortgage, filing for bankruptcy in general may help struggling homeowners regain their financial footing. Once a homeowner starts the bankruptcy process, it may feel complicated and overwhelming. However, the results can be the best way for homeowners to keep a home and start anew without lingering or debilitating debt.

A homeowner who is struggling to keep up with one or even a second mortgage may be unaware of the options that could alleviate the stress or fear for him or her. Misconceptions about stripping a second mortgage or any kind of misinformation can result in a homeowner missing out on his or her best options or losing an opportunity that may have helped them stay in a home. Our website has some information about stripping a second mortgage, and bankruptcy in general, so that no one has to rely on misinformation when dealing with situations like these in Florida.

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