How long to wait to file after selling a property?

August 6th, 2014 by Questions

After selling a property how long do we have to wait to declare bankruptcy without the sale afecting us .

Posted from: Alberta

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One Response to “How long to wait to file after selling a property?”



, Barton Goth, Trustee said:

There is nothing inherently wrong with selling a property. Depending on circumstance / situation you may be just fine to file a bankruptcy immediately. The key things that need to be considered are:
a) What was the property sold for;

b) Was there any equity in the property;

c) If there was equity how much did you receive and what did you do with the funds.

I see situations all the time where a property was sold a month or two ago and a bankruptcy is filed without an issue. In fact I met with someone yesterday who had a house in Ontario that was sold. They received $12,000 after the mortgage and all legal / real estate fees were paid. During this same time the individual lost his job in Ontario, found a job in Alberta. But he had to use that $12,000 for living expenses and moving expenses in that two month period of time.

As each situation can be so drastically different, it is important to consult with a local trustee. You may find that there is no problem with you filing right away, but you won’t know until you ask.

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