Getting Rid of Second Mortgages

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If you have more than one mortgage and your house is “underwater,” meaning it has negative equity or no equity in it, courts allow petitioners in bankruptcy to strip or erase the second or third mortgages completely as if it were a unsecured debt. This device has allowed our firm to get rid of tens of thousands of dollars of mortgage debt for clients over the years and is an important consideration in making the decision to file a bankruptcy case.