Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
That is a valid reason, you may want to obtain an appraisal to show that the first and priority liens would be paid before them, and it would not be beneficial for them to have the stay lifted,
However under the law, a Court will allow a stay to be lifted, if you have made no arrangements to pay the creditor in your bankruptcy,
Another argument you should consider is that you have an interest in the property and are living there, also mention you have homestead protection, and want to claim it for the home, if it is your primary residence you should argue that you have an interest in it, and lifting the stay hurts your interest.
In terms of the homestead protection, you get to keep the exempt amount before creditors,
The amount of your equity is an asset in bankruptcy and a Chapter 7 trustee may be able to sell your house and use the equity to pay your creditors. The homestead exemption allows you to exempt a certain amount of your equity and protect it from the bankruptcy trustee.
For example, if you own a home worth $200,000 and you have a $150,000 mortgage on it, then you have $50,000 of equity in your home. If you live in a state that has a homestead exemption of $75,000, your equity is protected and the bankruptcy trustee cannot go after your house. However, if you live in a state that only has a $10,000 homestead exemption, then the bankruptcy trustee will likely take your house and sell it. From the proceeds of the sale, you will receive the exemption amount of $10,000 and the rest will be used to pay off your mortgage as well as pay the trustee’s fee and your creditors.
Secured creditors get paid first, not unsecured creditors,
The party seeking to lift the stay is one of two secured creditors. There is
one priority and 2 judgement lien creditors after that.
I want ton argue the following: if the secured crreditor goes forward with the foreclosure sale immediately after the stay is lifted, I will have no where to live while trying to complete this bankrutcy. I also have major medical problems and will be hospitalized the entire remaining month of October.I am filing a motion to avoid lien(civil judgement of my brother)
so that I may take my homestead exemption. Also, if the foreclosure sale occurs before his lien is lifted, he will get his money.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).