I'm a co-borrower on my sister's house. If I foreclose on my OWN house (I'm the sole borrower), will it affect her?

If you are not the owner of your sister's home, then your BKC will not affect her home ownership. Even if you were a co-owner, as long as the mortgage on her house is current there can be no repercussion.

Your gift to your sister can lead to her being sued by your bankruptcy trustee. Giving away assets and then filing bankruptcy has a bad smell, yes? You need to wait one year so you can go bankrupt, and then your trustee has four years from the gift to sue your sister. For more free bankruptcy information, go to www.berlinerlaw.com. If you are facing foreclosure, look at my Foreclosure Defense Checklist and my Massachusetts Foreclosure timetable (links below). They’ll tell you how I can make it very, very difficult for the lender to take your home, and the time you have. Sooner is always, ALWAYS, lots better than later when there’s a fight to prepare. I’m Jed Berliner, and I’m a Massachusetts bankruptcy and foreclosure defense attorney with offices in Marlborough and Springfield. http://www.mortgagelawnetwork.com/2009/08/11/foreclosure-attack-checklist/ http://www.bankruptcylawnetwork.com/2008/05/28/massachusetts-foreclosure-timeline/

It's not clear why or how you are giving your sister money and in financial distress. Anyway, your bankruptcy will not affect her own home ownership, but there are other issues if you are giving her a gift before filing bankruptcy. You should seek the assistance of a competent bankruptcy lawyer to give you complete information about this situation so that a bankruptcy filing for you does not become more problem than remedy.