The decision to file for bankruptcy is never one done lightly. While it can help make day-to-day living easier, it does have direct effects on your credit score. Another concern of those filing for bankruptcy is how it may affect ownership of their possessions.
If you’re not in a good place financially and are thinking about filing for bankruptcy, here’s what you need to know about the bankruptcy law in Ocala, FL.
What does it mean to file for bankruptcy?
Contrary to what many may think, bankruptcy isn’t a dead end. Rather, it marks a fresh start for you financially. When you file for bankruptcy, the court takes a look at your assets and liabilities and decides if there are any debts the filer no longer needs to pay for. There are different types of bankruptcy you can file for, the most common ones being Chapter 7 and Chapter 13.
Chapter 7 bankruptcy
Chapter 7 is the more common form of bankruptcy. In 2020 alone, 381,217 people filed for Chapter 7. Also known as the straight or liquidation bankruptcy, Chapter 7 allows filers to clear away many types of unsecured debts. This includes utility bills and credit card bills. While you can get some financial help from filing Chapter 7, there is a possibility for you to lose your possessions. Your creditors may sell your property or some of your possessions in order to pay for your debts.
Chapter 13
Chapter 13, although less popular than Chapter 7, is also a good option. There were 154,341 cases of Chapter 13 filed in 2020. Also known as the wage earner’s bankruptcy, this type allows you to keep your possessions and property and helps you work on a more affordable repayment plan with your lender.
Will I lose my home due to bankruptcy?
Your home is generally protected from creditors in the event of bankruptcy if filing for Chapter 13. However, if you have a mortgage on your home, you will still be responsible for making the payments. If you are unable to make the payments, you could lose your home to foreclosure.
What happens to my credit score if I lose my home?
If you are unable to pay your debts in time and lose your home due to foreclosure, this can negatively affect your credit score. It may be more difficult for you to take out a loan and get a mortgage when it comes to purchasing your next house. This is why it’s important for you to avoid losing your home to foreclosure if you can help it. One way to do so is by selling your home before the lenders even have the chance to foreclose on it.
Sell to a Professional Home Buyer
If you’re trying to beat the clock and need to sell your home in bankruptcy in Ocala, FL ASAP, then selling to a cash home buyer in Ocala, Florida is your best option.
Rather than negotiating with potential buyers on a favorable price, you can sell your property as-is – no matter what condition it’s in.
You don’t even have to worry about cleaning up the place, because cash home buyers can give a fair offer within 48 hours or less after viewing the property. After you accept the offer, you can close the deal in as little as 14 days. This is a faster turnaround time than the state average of 78 days.
Cash home buyers also reduce the costs of selling a home. Professional home buyers purchase properties as-is, meaning you do not have to spend money on repairs or advertising to attract buyers. You also do not have to pay for commission fees or closing costs.
Contact K&K Property Ventures for More Information
Selling a home as-is in Ocala, FL can be a complex process, but we’re making it easier. If you want to avoid the headache or simply want to speed up the selling process, then selling your property to K&K Property Ventures may be your best solution. We buy houses in Ocala, FL, and we promise to give you a fair, reasonable price for it.
Contact us today to schedule a property viewing and receive a fair cash offer in 48 hours or less.