Hello,

I currently make about 8500-10500 per month as a Finance Manager. I was a first time buyer when I bought my house in 2005. My father lost his job so I am sacraficing my house and credit to pay his for his. I will be foreclosing on my house. I heard from a bankruptcy laywer that since I used my 2nd to purchase the home, and never refinanced, that they cannot bill me for taxes on the loss at foreclosure. Is this true? I was thinking of filing Chapter 7 to prevent any additional tax charges. Thanks:confused:

I believe you may find yourself in a issue depending on your exact incomes there are debt to income requirements that have to be matched.

Also actually while helping your dad is a nice thing, ruining your credit to do so, esp as a finacne manager, ( a bankruptcy may not look good on your resume)
But beyond that, you will still owe money after they foreclose on the balance the sale does not bring, but they can after the sale, also show it on a 1099, so you need ( and really should have done this before you stopped paying on your home) talked to an attorney.

You actually may have been better off letting your dads home go into foreclosure and tried using your good credit, to latter buy it back from the bank and let your dad them pay you back latter.

For a finance manager you make some awful decisions. Did you try to sell your home or rent it? Or have your dad come live with you? There were so many things you could have done.

Used your second what to purchase the home? Unless you discharge the debt in bankruptcy you will still owe it.