Filing for bankruptcy in Beeville can feel like a frightening step, especially when your home is on the line. Understandably, one of the most common questions people ask is: “Will I lose my house if I file for bankruptcy?” The answer depends largely on the type of bankruptcy you file—Chapter 7 or Chapter 13—and your specific financial circumstances. This blog breaks down what homeowners in Beeville need to know.

Understanding Chapter 7 and Chapter 13 Bankruptcy

When filing for bankruptcy in Beeville, you typically file under Chapter 7 or Chapter 13 of the U.S. Bankruptcy Code. Each has different implications for your assets, including your home.

Chapter 7 Bankruptcy: Can You Keep Your Home?

Chapter 7 is often referred to as “liquidation” bankruptcy. It discharges most unsecured debts, but the bankruptcy trustee may sell non-exempt assets to pay creditors.

That said, Texas has some of the most generous homestead exemptions in the country. This means that in many cases, homeowners filing Chapter 7 bankruptcy in Beeville can keep their primary residence, provided that:

  • You are current on your mortgage payments.
  • The home falls within Texas’s exemption limits.
  • You don’t have significant equity beyond the exemption amount.

If you’re behind on payments, the lender may still foreclose unless you bring your mortgage current. This is why it’s crucial to consult a knowledgeable bankruptcy lawyer in Beeville before filing.

Chapter 13 Bankruptcy: A Lifeline for Homeowners

Chapter 13 is a reorganization plan that allows you to pay off debts over three to five years. Unlike Chapter 7, it’s particularly helpful if you’re behind on mortgage payments. As long as you stick to the repayment plan and resume making regular payments, you can often prevent foreclosure and keep your home.

Filing for Chapter 13 bankruptcy in Beeville allows you to:

  • Catch up on missed mortgage payments over time.
  • Stop foreclosure proceedings.
  • Keep your house even if you have significant equity.

A skilled bankruptcy attorney can help you develop a payment plan that fits your budget and meets court approval.

Other Considerations for Homeowners Filing Bankruptcy in Beeville

 

a closeup shot of a few bankruptcy documents
aspects homeowners must consider when filing for bankruptcy

There are a few important things to keep in mind if you’re concerned about your home:

  • Bankruptcy only halts foreclosure temporarily. You’ll need a sustainable strategy to remain in your home long-term.
  • Second mortgages and home equity loans may be affected differently depending on your bankruptcy type.
  • Always disclose your home and mortgage information fully when consulting with a bankruptcy lawyer in Beeville.

Protecting Your Home Starts with Trusted Legal Advice

The fear of losing your home can be overwhelming, but knowledge is power. Whether Chapter 7 or Chapter 13 is right for you depends on your mortgage status, equity, and income. That’s why it’s essential to speak with a dedicated bankruptcy attorney who understands the local laws and exemptions in Texas.

If you’re considering bankruptcy, I’m here to help.

At the Law Office of Joel Gonzalez, I offer personalized, honest legal guidance tailored to your situation. As an experienced bankruptcy lawyer in Beeville, I’ll walk you through your options, explain how the process affects your home, and help you take the right steps toward a fresh financial start.

Don’t face bankruptcy alone—contact the Law Office of Joel Gonzalez today to schedule your confidential consultation.