Legal Question in Bankruptcy in Virginia

Real estate in bankruptcy

Whether or not you "decide to sell the house,"you MUST declare it as an asset on bankruptcyschedules. It is not your choice whether to sell or not. If the house is paid off, the trustee will most definitely try to sell it,using your share to pay creditors and givingyour brother his share. If you are consideringbankruptcy, see a lawyer experienced in bankruptcy law, as there may be waysto avoid loss of the house. DO NOT try tofile bankruptcy on your own. Lawyers generallygive free initial consultations on bankruptcymatters.

Real estate in bankruptcy

The first question is, "Why are you considering filing for bankruptcy?" Unless a creditor has a means of attaching and forcing a sale of your interest in the house, you probably do not need to file for bankruptcy protection. Uness you are hgoing to lose the house one way or the other, you should not file for bankruptcy.

Real Estate In Bankruptcy

If the house is located in a common law state "title state", as opposed to a community property state, you and your brother own the house as tenants in common, meaning you each have separate ownership rights in the house. Your ownership rights in the house would have to be reported on your bankruptcy.However, you have the option to declare as much of your ownership as you can as exempt property. Check with a bankruptcy lawyer for more information about exempt property laws in the bankruptcy court where you plan to file.