Home Bankruptcy Law Investment Property Foreclosure and Bankruptcy

Phoenix Investment Property Foreclosure Bankruptcy Attorney

Learn more about investment property foreclosure and bankruptcy in Phoenix, AZ, and the Greater Valley Area. Call a lawyer at Hilltop Law Firm to learn more.

Helping You Protect What’s Yours When Facing Investment Property Foreclosure in Phoenix

Phoenix has a robust economy that’s home to some of the leading businesses in the world, including PetSmart, Avnet, Onsemi, and Freeport-McMoRan. At Hilltop Law Firm, we help investors thrive in this dynamic real estate market.

You worked hard to build your real estate portfolio, and you want to do everything you can to keep it. If you are facing foreclosure on an investment property, it’s important to explore all your options for protecting your assets. Foreclosure is a complex legal process that involves state and federal laws, and investors don’t have the same rights and obligations as homeowners.

If you are heading towards foreclosure or currently in foreclosure on a rental property you own, speak with a knowledgeable Arizona debt relief attorney to go over your options so you can hold on to as many of your assets as possible.

Cy T. Hainey has been working as a bankruptcy lawyer for over a decade. He has a clear understanding of state and federal bankruptcy laws, and our team at Hilltop Law Firm boasts extensive experience in the banking and finance industry. Cy will help you find the best solution for your current situation and guide you through the foreclosure process.

For exceptional representation in Chapter 13 or Chapter 7 bankruptcy, contact Hilltop Law Firm at (602) 466-9631. We offer a free consultation to explore your options.

What Is Investment Property Foreclosure?

Foreclosure is the legal process in which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments. Under the foreclosure process, the lender may recover their money by forcing the sale of the property used as collateral for the loan.

In many ways, foreclosure law is designed to protect homeowners and prevent foreclosure when other options are available. But the law treats rental property as a business or investment, and as an investor, you don’t enjoy the same legal protections as homeowners.

Reasons why an investor may be facing foreclosure on a rental property include:

  • A lengthy vacancy
  • Your tenant stops paying rent
  • Cash flow problems
  • Personal financial hardship

Challenging an Investment Property Foreclosure

Foreclosure is regulated by state and federal law. In Arizona, a creditor is not allowed to begin foreclosure until the debtor is 120 days delinquent. Responding to a foreclosure involves making a legal argument, filing the correct documents, and following court rules. It’s wise to have an attorney by your side during this process.

There are circumstances where you may wish to challenge a bankruptcy proceeding. You may have grounds to do so in the following situations:

  • The servicer made an error with your account
  • The foreclosing party is misrepresenting your payment history
  • The servicer didn’t follow the correct foreclosure procedures
  • The foreclosing party cannot prove it owns the loan

Filing for Bankruptcy While Under Foreclosure

Filing for bankruptcy allows a real estate investor to stop or delay the foreclosure process. There is also a chance that by working with your creditors, you may be able to find a solution that allows you to avoid fees, penalties, and credit damage. You may be able to sell the property or find an investor who is willing to offer financial assistance in exchange for equity.

After speaking with your real estate lawyer, you may decide that filing for Chapter 13 or Chapter 7 bankruptcy is your best course of action. Although the bankruptcy process is designed and regulated by the federal government, bankruptcy laws vary from state to state, and Arizona law determines which properties may be exempted or protected.

Bankruptcy laws are designed to give a fresh start to financially struggling debtors. Your attorney will help you decide if filing for bankruptcy is the best response to an investment property foreclosure. Factors that you will want to consider when filing for bankruptcy and choosing whether Chapter 13 or Chapter 7 is right for you include:

  • Your disposable income
  • Whether you wish to keep or sell the property
  • How bankruptcy will affect your total assets
  • Which assets do you wish to exempt from bankruptcy
  • Your creditors’ willingness to negotiate a mutually beneficial solution

Conquer Your Financial Challenges with Hilltop Law Firm

Contact Hilltop Law Firm, and let our Phoenix legal team guide you through this difficult time. Cy T. Hainey provides clarity and custom-tailored solutions to help you get back on track with your real estate career.

Call (602) 466-9631 to learn more today.

“Settled my debt quickly and for less than I could have imagined! I would definitely recommend”
- Chelsea