REAL ESTATE SALES

Kevin Ryan is now affiliated with the Howard Hanna Real Estate Sales Office in North Olmsted, Ohio.  If you are thinking about selling your home, or if you are current in default on your mortgage payments and would like to discuss a Short Sale listing of the property, please contact Kevin at (440) 610-0972 (cell)  or (440) 327-3800 (office).

web site address for the Chapter 13 Trustee (Cleveland District)

The web site address for the Chapter 13 Trustee for the
U.S. Bankruptcy Court, Northern District of Ohio Cleveland  Division is

www.13trusteecleveland.com

there is helpful information posted at this site.   Don't forget to sign up for online
case access if you are currently a Chapter 13 debtor with an open case.   You
can track all of your payments, claims history, and other information relevant
to your case.  Contact your attorney if you have any questions.

New office location for Ryan Legal Services, Inc.

We are opening a new satellite office at 26777 Lorain Road, Suite 608, North Olmsted, Ohio.  This is a small office that is next to the Great Northern Mall and St. Richard's Catholic Church.  Our hope is to attract clients from North Olmsted, Olmsted Falls, Olmsted Township, and Fairview Park,  cities that are currently under-served by bankruptcy attorneys.   Please note that this is an office for client meetings only, so please call us at 440-327-3800 to schedule an appointment.  

Mistake : Transferring property prior to filing bankruptcy. Don't do it!

Transferring property before bankruptcy is risky business!

by Pamela Stewart, Attorney at Law · Posted in *Bankruptcy Basics,*Filing for Bankruptcy

Lately, a number of clients coming to see me have just transferred real property (or their interest in real property) to a family member or friend, or they are inquiring about transferring their property to a family member or friend – and, of course, for no money in return.  AND, they want to file bankruptcy ASAP.  Bad decisions and bad ideas! Bankruptcy law has several provisions that penalize a transfer made with the intent to hinder, delay, or defraud creditors.   Any transfers made within two years of filing bankruptcy (and in some instances – further back than that) the bankruptcy trustee can undo those tranfers pursuant to his avoidance powers under Section 548 of the Bankruptcy Code. 

I recently turned down filing a case for a potential client who, after several months of being laid off from work and no foreseeable job offer coming, decided to transfer a second parcel of land (approximately 20 acres) – not his homestead to his son.  He wanted to protect his land from his creditors.  Unfortunately, this is considered a fraudulent transfer and the trustee could undo the transfer.  He, of course, was sick to learn that his actions had only made matters worse for him since he is unable to file aChapter 7 bankruptcy now and keep his land.   

If you are thinking about filing for bankruptcy and are thinking about transferring or giving property of any value to someone else, PLEASE talk to a bankruptcy attorney before you take that action.

How Will I Find a Place to Live If I File for Bankruptcy?

by Brett Weiss, Maryland Bankruptcy Attorney · Posted in *Life After Bankruptcy,Consumer Credit Issues

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Many of my clients worry about where they will live if the file for bankruptcy and surrender their (usually far under water) house. They’ve heard horror stories about people with bankruptcies on their credit being unable to rent. But things aren’t as bad as they fear.

My usual recommendation is not to look at the traditional large apartment complexes. Many will, indeed, reject applicants with a recent bankruptcy on their credit.

Much more likely to rent to you are individual landlords. They are usually far more concerned about you, the individual, than about your credit. A good job and first and last month’s rent often are sufficient to satisfy these landlords.

The best bet, however, is usually a “Lease With Option to Buy,” or LWOB. This is a special form of rental, typically involving three provisions in addition to the usual rental clauses:

1. You have the first right to buy the property at some time in the future (usually 2 or 3 years);

2. Some or all of your monthly rent payment is credited to the purchase price if you buy the property; and

3. The purchase price is set today.

A LWOB gives someone who has filed for bankruptcy a number of advantages. First, you can usually get a nicer condo, townhouse or single family home that might ordinarily be available for rent. Second, the landlord usually offers the LWOB because he or she can’t sell the property and is desperate for cash flow. This means that the landlord will usually care much less about your credit and the bankruptcy. Third, you are locking in the potential purchase of the property at today’s lower prices, rather than the price the property might sell for in 2-3 years. And finally, you are building up a substantial down payment if you decide to buy the property later.

How can you buy the property after a bankruptcy? Under current regulations, assuming your post-bankruptcy credit is good and you’d otherwise qualify (wages, savings and debt-to-income ratios are OK), you can get an FHA-guaranteed mortgage only two years after your discharge.