For over 18 months now much of government has been focused on providing stability to those in economic distress resulting from the Covid-19 pandemic and the economic tumult which has followed it. One of the chief actions taken to directly help those who experienced loss of income through no fault of their own has been the carious eviction and foreclosure moratoriums from multiple government department and agencies. The U.S. Department of Housing and Urban Development (HUD) and others had extended their foreclosure related eviction moratorium through September 30th of this year.
With that protection sunsetting, many homeowners who have fallen behind on their mortgage are now asking what that means for them. While many homeowners have taken up the extended forbearance options that were made available to them, those too end in September. Many do not and will not have a plan on what to do going forward. Some may try to sell while the market value on their home is very high, but others will simply face foreclosure.
If this situation sounds familiar and you want to seek other options to try and keep your home one options may be speaking with a bankruptcy attorney. If your situation has improved and you have regular income, Chapter 13 bankruptcy may be a viable solution to pay what you are behind on over an extended period of time (up to five years). Chapter 13 is by no means an answer to every homeowner who is in distress, but it is an option that has been around for many years and is in many ways the best solution to this particular type of problem.
While the pandemic has presented a lot of unique problems that out country has not faced in over a century, Chapter 13 bankruptcy as a tool available to those in financial distress is tried and true. If you would like to speak with a consumer bankruptcy attorney to discuss ways that are available to you to stop or head off a looming foreclosure threat, call us at (205) 286-8111. The Elmer Law Firm, L.L.C. provides bankruptcy attorney services in Tuscaloosa and Jasper, Alabama.