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Do not reaffirm. Not a good idea because if you default on your loan in the future, the bank could come after you for the deficiency after a foreclosure or a short-sale. Continue to make payments without reaffirming the mortgage. Technically, the mortgage is not discharged on your bankruptcy. It is your liability on the note that is discharged, which prevents the bank from coming after you after you default and then after it forecloses on its mortgage. The bank's mortgage is taken care of by the proceeds from a short-sale or a foreclosure.
Again, the deficiency from the short-sale or foreclosure is the thing that is being discharged in bankruptcy if you did not reaffirm the debt—this is your personal liability on the note. If you reaffirm the debt, the deficiency is not discharged—your personal liability on the note is not discharged.
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