Atlanta Foreclosures Starting to Slow, Drop 8 Percent

Is Atlanta rebounding in the housing market? Maybe. Signals are mixed currently, but a recent AJC news article gives some hope.

January – June 2011 Foreclosure notices were 8.3 percent lower than January – June 2010 (56, 429 in 2011 compared to 61,524 in 2011).
While declines in foreclosure continues, new notices are still high

What does this news mean for the metro Atlanta residents? Signals are better than before. For example, more people are paying on time, which is good sign. Other signals are showing that financial institutions might be slowing the pace that they are foreclosing on as they determine how to handle the uptick in foreclosures from the last few years.

What does this mean for you?

Trying to stop foreclosure in Atlanta? If you’re facing foreclosure there are several options available both within the community and potentially through your lender. A final option that residents sometimes take is the option of filing for bankruptcy. A bankruptcy filing may help you avoid foreclosure on your Atlanta home, but this comes with several caveats.

Bankruptcy cannot be a Chapter 7
Bankruptcy must be a Chapter 13

7,374 Foreclosures: In June 2011 there were 7,374 foreclosure notices in the Atlanta region. This was the lowest in 2.5 years, and marked a 4th straight month of declines. That said, this is still a very high number.

Have a question about bankruptcy? Trying to rebuild your financial life? With 11 offices available in the metro area, there is a sure to be a local Berry & Associates office that can help with your metro Atlanta Chapter 13 bankruptcy questions and filing.

Advantages of Filing Chapter 7 and Chapter 13 Bankruptcy Before Georgia Foreclosure

Filing for Chapter 7 or Chapter 13 bankruptcy is too complicated for many individuals to do by themselves, but the benefits of bankruptcy can be had by all. While it can be a complex and difficult process, in most cases Chapter 7 and Chapter 13 bankruptcy do more than give you a fresh start–they give you a second chance.

As noted in this blog post on Georgia Debt Law, if you’re facing foreclosure then bankruptcy is often your best option. At a minimum, you have extra time to find a second residence. At best, it buys you time to save your home.

Just what bankruptcy should you file and how does it work? First, let’s go over exactly what a foreclosure is.

Georgia Foreclosure
You fall behind on your mortgage payments, and the lender isn’t working with you on a payment plan. Maybe you have too many other bills, such as medical fees or car payments, or maybe you lost your job or someone close to you passed away. No matter the reason, the lender can take steps to bring foreclosure on your home, selling it at an auction and paying back your debt through the sale.

There are many alternatives to filing bankruptcy, but in terms of foreclosure, if you’re behind on payments sometimes there is little else you can do. If the lender is unwilling to negotiate, if you have bad credit, or if you have no other place to go if you lose this home, bankruptcy is almost a must.

Georgia Bankruptcy
Filing bankruptcy in Georgia usually calls for Chapter 7 or Chapter 13 bankruptcy. The good news with Chapter 7 bankruptcy is that it buys you extra time to find another residence (if you have few other places to go). This can be several months if not longer, as by law the courts can protect you.

How? If you file Georgia bankruptcy, there is the “automatic stay” which usually gives you 3-4 extra months extra time. You will likely lose your home if you file Chapter 7 bankruptcy in Georgia, but 3 months is a lot of time to figure something out.

On the other hand, you may want to fight this to the end. The best option if you want to keep your home–if you want to fight for it–is to file Chapter 13 bankruptcy in Georgia.

Advantages of Chapter 13 Bankruptcy in Georgia
Chapter 13 bankruptcy can save your home. You will need enough income to meet your current mortgage payment, so do what you can to get that. After, you will set up a repayment plan over a few years time–usually 3-5 years. This means you’ll pay back the debt over a longer period. It does call for bringing in more money, but Chapter 13 bankruptcy is the foreclosure solution.

Hiring a Georgia Bankruptcy Lawyer
Your best choice is to discuss this with a Georgia bankruptcy lawyer. Did you know, for example, you may be able to cancel your 2nd and 3rd mortgages? It’s not a dream, with the right assistance you can. And people successfully file for bankruptcy in Georgia to stop or delay foreclosures. All you need now is to choose a lawyer who can help.

Filed under: Bankruptcy Information — Tags: Atlanta, Bankruptcy, Chapter 13 Title 11 United States Code, Chapter 13 bankruptcy in Georgia, Chapter 7 Title 11 United States Code, Chapter 7 bankruptcy, Creditor, delay foreclosure, Foreclosure, foreclosure process, Georgia bankruptcy — jmalewitz @ 8:08 pm

Who is filing bankruptcy?

Interesting question, isn’t it? In my experience, there is a broad spectrum of people filing bankruptcy in Atlanta. But the people at FancyStats.com have created a graphic with demographic data showing that the average person who filed bankruptcy in 2008 was a married Caucasian, between 35-44 years old, with a high school diploma, who made less than $30,000 a year.

I think you can find more diversity in the numbers than that, so I included their graphic so you can make a decision for yourself.

Filed under: Bankruptcy Information — Tags: Atlanta, Bankruptcy, Demographics, Law, United States — admin @ 10:29 am

Retail Foreclosures Could Impede Recovery In Atlanta

Economists are predicting that the unemployment rate will drop dramatically in Atlanta in by the second quarter of 2010. I would like to think they know what they are talking about, but I recently read that foreclosures on retail properties and commercial developments are on the rise.

Defaults on these loans will affect the ability of other businesses in the area to secure financing in order to keep growing, which may result in slower recovery than expected. I think that the recovery should be on the way, but if you are scraping by now thinking that you can wait until the recovery in summer next year, you need to prepare for the possibility that you will have to declare bankruptcy.

Come in for a free evaluation of your current situation and see if bankruptcy can help you get your debt under control. It may seem like a drastic step, but you must remember that bankrupcty is not a personal failure. Bankruptcy allows you to clear the burden that the is causing you stress and help you start fresh with the assets you need to begin a life without debt.

Filed under: Economic News — Tags: Atlanta, Bankruptcy, Foreclosure, Law, Unemployment — admin @ 12:32 pm

Flooding Likely To Add To Economic Problems

The flooding that we have experienced in the Atlanta area over the last few days will likely have effects for months to come.

Cleaning up after a flood is a long, strenuous process that is likely to take a financial toll on the entire metro area. Lost time at work, missing financial documents, and trying to get by with no insurance in the current economic climate may end up costing Atlanta residents more than they can afford.

If your financial situation was close to the edge, the rising flood waters may have swept you under already. If you need help recovering your financial stability, you should consider filing bankruptcy.

The Georgia Insurance Commissioner has offers some tips on recovering from the flood that are on the Atlanta Journal Constitution’s Web site.

Filed under: Economic News — Tags: Atlanta, Bankruptcy, Flood, Insurance, Metro Atlanta — admin @ 10:23 am

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