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Updated over 6 years ago on . Most recent reply

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17
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2
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Isaac Black
  • Kansas City, MO
2
Votes |
17
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Home owner filed chapter 7

Isaac Black
  • Kansas City, MO
Posted

I found an individual in Missouri who has recently filed a chapter 7 bankruptcy. I do not yet know his situation, be it divorce, lawsuit, etc. My question is if it's possible to approach the home owner and inquire about purchasing his house. I am under the impression the home owners assets are seized and it would not be up to him to sell the home but those who seized the assets. Tried doing some research but something is not breaking through to me. 

Most Popular Reply

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1,293
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500
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Brett Goldsmith
  • Investor
  • Los Angeles, CA
500
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1,293
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Brett Goldsmith
  • Investor
  • Los Angeles, CA
Replied

Yes, homeowners who are in bankruptcy sell often. I deal with homeowners who are in active bankruptcy's on a daily basis. Title won't let you close if the BK is active unless if there is a motion lifting the stay. More often then not those motions aren't needed for ch 7's as they are 2-3 month long and will usually be dismissed or discharged by needed closing date. The property are not always seized or forcefully liquidated in ch 7's as this comes down to property equity, creditors, etc. 

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