If I file for chapter 13 bankruptcy in Florida, can I still get a reverse mortgage when I reach 62.

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There is no mortgage on the condo, it would be over a year after filing. Would I have to pay any of the money over to the bankruptcy team (trustee/creditors)?

Attorney Answers

3
Dorothy Bunce ·
Your bankruptcy won't prevent you from obtaining a reverse mortgage (as long as your case has been formally closed), but you will need to see if the companies offering reverse mortgages consider a bankruptcy as an impediment to offering this produce. The law does not address this issue, but lenders have the right to set their own lending criteria. Hope this perspective helps!
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Steven Davis ·
The answer will depend on a number of factors, including the value of the condo, the amount owed and whether, taking into account exemptions, there is any equity in the condo. In addition, it will depend on the terms of your plan and your getting approval for the reverse mortgage from the court. I would suggest engaging co.mpetent Chapter 13 counsel and reviewing this with him/her
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Thomas Pye ·
Since it is "applying for credit," it is necessary to ask for bankruptcy court approval of the reverse mortgage before it is finalized.
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