What Real Estate Brokers Should Know When a Home Buyer or Seller Enters Bankruptcy
Written by: Chester B. Salomon
Stevens & Lee; New York
This article discusses the issues and opportunities for brokers and their customers when bankruptcy or its specter intervene in a home sale.
At any given time, there is a multitude of home sales that will be affected when a buyer or seller enters a bankruptcy proceeding. Though the number of individual bankruptcy filings declined dramatically after the 2005 effective date of the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA), recent statistics show a marked increase in filings. Even before news of the volatile credit, securities and real estate markets and the national crisis in subprime mortgages and real estate development, total bankruptcy filings rose 48 percent in the first half of 2007. As filings rise, so does the prospect of bankruptcy in otherwise ordinary home sales.
ABI’s 19th Annual Winter Leadership Conference: Committee Educational Session
The Real Estate committee will meet jointly with the Young & New Member committee on Saturday, Dec.8, from 9:30 to 11:00am to discuss The New American Skyline: Builder/Developer Workouts and Restructurings.
Speakers include: Jeffrey L. Hubbard (Sheldon Good & Co.; New York), Leslie Ann Berkoff (Moritt Hock Hamroff & Horowitz LLP; Garden City, N.Y.), Joseph H. Smolinsky (Chadbourne & Parke LLP; New York) and Heidi Jan Sorvino (Katten Muchin Rosenman LLP; New York).