refinance to buyout Chapter 13

Anonymous · ‎05-11-2019

I am 48 months into 60 month 100% plan. I pay $3350 for the plan and have $200K in home equity that I would like to tap into, plus take some cash for much needed home repairs. Credit scores 650 - 690. Mortgage balance is $650K so above FHA limit. I am struggling to find someone to help. Any ideas?

FireMedic1 · ‎05-12-2019

Check this out:

The attorney can petition the court for permission to add debt in a case, where the homeowner can take out a second mortgage, or home equity loan, to pay off the debt through the court. This can be advantageous in a couple of ways to the debtor. An aggressive lender that issues many HELs might allow a borrower to qualify just three years after bankruptcy.

https://www.lendingtree.com/home/home-equity/home-equity-loan-after-bankruptcy/

BK Free Aug25

MyDataMyChoice · ‎05-12-2019

I'm going to go with the dave ramsey approach...

Why if you are in a Ch13... do you have such a massive mortgage? I don't know where you live... but i would look into downsizing... trying to pay cash from the equity... especially AFTER the Ch13 is complete... you are almost thru it.

All that extra money every month...

All Negatives History Removed as of October 2025 - Only BK CH7 Showing as Public Record

Lines of Credit:
Personal Loan:

Total Reported Revolving CL: $162,450 + 26K PLOC = $188,450

Anonymous · ‎05-12-2019

I filed 4 years ago due to bad business investment. My income is high enough to support the mortgage. CH13 in hindsight was a bad decision, but we had $200K in student loand and CC debt. I've paid $160K of the CH13 and I just want to get rid of it. My oldest is heading to college in 2020 and an extra $3350/month will go a long way to help pay for college.

Anonymous · ‎10-16-2019

Hi, I'm a Loan Officer with an FDIC bank and I specialize in helping borrowers close refinance and purchase transactions all over the country. We do use FHA and VA for a majority of these transactions but we also have a portfolio type product that allows for loan amounts above FHA county loan limits. I'm new here and I read all the community guidelines - I didn't see anything that prohibts sharing a link - so here's an article I wrote on obtaining financing while in Chapter 13. I hope this will be of some help.

https://www.willamettevalleybank.com/how-to-purchase-or-refinance-while-in-chapter-13-bankruptcy/