While bankruptcy can be seen as a clean slate from all your existing debt, it can affect your financial standing for years to come. Whether you file a chapter 7 or chapter 13 bankruptcy, it will reflect on your credit score, which can affect your ability to take out loans, shop for credit cards and insurance premiums, and apply for some jobs that involve handling company finances. It can also affect your income or the status of your household after your nonexempt assets have been seized.
If your home is one of your remaining assets, it might be a good idea to sell your home to pay off your debts rather than filing for bankruptcy. It’s best to discuss your options with your bankruptcy lawyer, but here’s what you should know about your options if you’re thinking of selling your home in Middlesex, NJ.
Chapter 7 vs. Chapter 13 Bankruptcy
Property owners in New Jersey may have two options for bankruptcy filing: a chapter 7 or a chapter 13 bankruptcy. Under a chapter 7 bankruptcy, all your nonexempt assets are sold off and used to pay off your creditors depending on New Jersey’s provisions on bankruptcy. Whether or not your creditors are paid in full, all your debts are forgiven and you’re given a clean slate with all your exempt assets.
Under a chapter 13 bankruptcy, your income allows you to pay off all your debt through a restructured payment plan within three to five years. This allows you to keep all your assets, but your income may be deducted to repay your debts within a certain amount of time.
Depending on which one you qualify for, the effects of bankruptcy can result in different outcomes. If your home is nonexempt, you could lose it during a chapter 7 bankruptcy. And if you file a chapter 13 bankruptcy, you may be able to keep it if you repay your debt within five years.
Selling Before Filing for Bankruptcy
If you have enough equity in your home when you sell for its market value, you might be able to pay off all your debts without having to file for bankruptcy. In fact, it’s possible to work with your creditors to clear your debts without having to resort to bankruptcy. Under bankruptcy, creditors aren’t guaranteed they’ll be paid in full despite the extensive and costly process of going after your properties. By working with your creditors through financial hardship options, both you and your creditors can come out whole without having to resort to bankruptcy.
However, selling your home to avoid bankruptcy may be easier said than done. If you opt to list your property on the real estate market, you could end up waiting over two months before your home is sold. If you have overdue payments, you may not have the time to wait for a good offer in the market. Many buyers take advantage of rush sales and provide lowball offers – depending on your equity on your property, these lowball offers may leave you unable to repay your debts.
Sell to a Professional Home Buyer!
For fair cash offers and a quick sale, sell your home directly to Quick N Easy Offers. We can buy your house in Middlesex, NJ fast without the added costs and time associated with listing your property on the market. We understand the pressure you’re in to avoid filing for bankruptcy, and our selling process provides you with a quick and fair cash offer for your home.
Rather than listing your property and waiting over a month for an offer, you can simply contact our team for a property viewing. From there, you can expect an offer within 72 hours. If you accept our offer, we can close the deal and transfer you your money in as little as 14 days. This can give you more than enough time to pay off your creditors and get a clean slate without the need to file for bankruptcy.
Contact Quick N Easy Offers Today
Bankruptcy can affect your financial stability for years to come, so it’s best to consider all your options before resorting to it. With Quick N Easy Offers, you can sell your home fast for a fair price and pay off your creditors without the need to file for bankruptcy. Contact us today to find out how you can maintain your financial independence by selling your home.