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WALLSTREETESQ
WALLSTREETESQ, Attorney
Category: Bankruptcy Law
Satisfied Customers: 17223
Experience:  14 years exp., CH 7 AND 13 Bankruptcy cases, AFL-CIO UNION PLUS, UFT NYSID AND ALL MAJOR UNIONS
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I have a question about filling out Schedule A (Real Property)

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I have a question about filling out Schedule A (Real Property) in a bankruptcy.
Suppose a house is worth only 200k, but the lien is 250k. There is only one mortgage lien.
I assume I list the value of 200k in the current value column.
But what about the Amount of secured claim column? Only 200k of the loan is secured.
Do I list the entire 250k since the majority of it is secured or only list 200k since the remaining 50k isn't backed by any equity?

WALLSTREETESQ :

Hello I am a licensed attorney here to help you with your question, please review my response and do not hesitate to ask for clarificati on.

WALLSTREETESQ :

For the lien amount, you would list the full mortgage lien amount, if it is $250,000 that would be the lien that should be listed.

Customer:

Follow up question: Why? only the first 200k is secured. why not list only the secured amount?

WALLSTREETESQ :

The full lien would have to be listed, even though the secured lien is really $200,000 it is best to list the full amount, so their is never an issue later on, for example the creditor may claim the values of the home is really $240,000 and if you listed only $200,000 as secured then it would look as if you have $40,000 in equity.

Customer:

okay, thanks. What about if a second mortgage exists? Do I have to list both liens even if the 2nd mortgage is fully unsecured?

WALLSTREETESQ :

I would still list it, just in case.

Customer:

okay, thanks

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