December 1st, 2009 by Questions

I own 2 properties that currently have little or no equity. I can not afford to pay for either of them and am thinking about letting them be foreclosed. With what i will be expected to pay after foreclosure in penalties I think i will need to consider bankruptcy. Should i declare bankruptcy before my properties are foreclosed?

Posted from: Alberta


One Response to “Foreclosure”

, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

You should start the forclosure process prior to filing for bankruptcy. Now you don’t have to have the process completed, but make sure you have communicated to the lender that you cannot afford to make any more payments and they need to forclose. I always recommend that you do this in both verbal and written form (preferably sent via fax so you have a copy and a confirmation report stipulating when it was sent).

Once this is done then it is time to investigate the filing of the bankruptcy.

Please post a follow up comment below:

(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)