Bankruptcy Law Questions? Ask a Bankruptcy Lawyer.
Under bankruptcy law applicable to Florida, you can only strip a mortgage, the last payment of which comes due prior to or coincident with the last payment of the Chapter 13 plan. In other words, your mortgage must have no more than 5 years term remaining. Similarly, with the investment properties, you must be able to pay off the stripped down loan entirely within the term of the bankruptcy plan.
This may be impossible given your reduced income.
Hope this helps.
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Im sorry but out of everything I`ve read and been advised I have never heard of anything like that. I just spoke to my investment partner yesterday before I posted my question and she herself filed chap 13 last year. She had her creditors meetingin August and her Conformation Hearing is schedule soon. For example her first mortg. $341k her second $85k. Her appraisal came in at $300k. She said that her second was stripped and she has a fairly low payment plan for the next 60 months. You didn`t answer the specific question I was asking for with the figures I gave you on my balances.
As far as my investment. I m not looking to get anything stripped. The question was can I keep it in a 13 if it is not loosing money? I have just began new employment and have budgeted our expenses that we could cover our payment plan. You