Selling a Home During Bankruptcy in Michigan: Is It Possible?

Yes, but with court approval. Whether you can sell depends on:
✔ Type of bankruptcy (Chapter 7 vs. Chapter 13)
✔ Home equity status (Exempt vs. non-exempt)
✔ Lender and trustee requirements

M1 Home Buyers specializes in bankruptcy property sales, helping Michigan homeowners sell quickly while complying with court rules.

What Happens To Your House During Bankruptcy?

Factor	Chapter 7 (liquidation bankruptcy):	Chapter 13 (reorganization bankruptcy):
Trustee Control	Must approve sale	Debtor keeps assets with plan
Timeline	3-6 months	3-5 years (unless modified)
Equity Impact	Non-exempt equity goes to creditors	Payments restructured
Best for Selling?	Possible with trustee approval	Harder (requires plan modification)

Key Insight: Chapter 7 filers have better odds of selling if equity is exempt.

Sell Your House for Cash in Three Easy Steps

Before you call a real estate agent, you owe it to yourself to explore other options for selling your house fast in City. Instead of going through a complicated process in a traditional sale, you can work directly with our team and skip the realtor. Our process is simple.

Cash for bankruptcy properties – court-compliant

Step 1: Contact Us

When you are ready to sell your house, the first step is to call us and schedule a walkthrough of the house. It’s fast and easy, and there is no obligation to sell your house. Feel free to ask questions. We are here to help!

Stop foreclosure while in bankruptcy – sell now

Step 2: Get a Cash Offer

We will assess your property and decide if we want to make an offer. If we like what we see, we will make a fair cash offer at just under the market value of your home. In most cases, we can make an offer within 24 to 48 hours.

Michigan bankruptcy exemptions – protect your equity

Step 3: Close and Get Paid

If you accept our offer, the next step is to schedule a convenient closing date. Simply show up, sign the paperwork, and walk away with no strings attached. We pay most or all of the closing costs, which save you money.

Why Sell Your Home During Bankruptcy?

Selling your house while in bankruptcy can:

Stop foreclosure proceedings and avoid sheriff sale.
Provide funds to pay off creditors, ending bankruptcy sooner.
Eliminate unaffordable mortgage payments to rebuild your financial stability.
Avoid losing the home to trustee sale, allowing control over timing and price.

How Does The Process Work?

Consult your bankruptcy attorney to assess feasibility.
Get a fair cash offer from a buyer like M1 Home Buyers.
Submit a Motion to Sell to the bankruptcy court with offer details.
Obtain court and trustee approval to proceed.
Close the sale, and proceeds are distributed per your bankruptcy plan.

Why Sell My Home Fast For Cash To M1 Home Buyers?

Selling your home shouldn’t be stressful. At M1 Home Buyers, we streamline the process by purchasing directly from you in cash – no fees, no commissions, and no middlemen. We buy City, MI homes in any condition, handling all closing costs and repairs ourselves, while tailoring solutions to your unique situation.

Fair Cash Offer

We’ll make you a cash offer based on the condition and value of the home.

Simple Sale Process

We want to make selling your home as easy and stress-free as possible.

Close When You Want

Need to sell fast or need extra time to move? We’ll work with you.

Sell Your Home As-Is

You won’t have to make any repairs or updates! We buy houses totally “as-is.”

No Agent Fees

We buy houses directly from sellers with no realtor commissions or other fees.

No Need To Clean

No need to clean. Leave behind anything you don’t want to take with you.

Selling Your House During Chapter 7 Vs Chapter 13

Feature	Chapter 7	Chapter 13

Property Ownership

Trustee can liquidate

Debtor retains ownership

Court Approval Needed

Yes, trustee manages sale

Yes, debtor proposes sale

Use Of Proceeds

To repay creditors

May repay debts or keep equity (if allowed)

Sell Before Discharge?

Possible, with trustee action

Possible, with court approval

Top Rated Cash Home Buyers In Michigan

– Leonya B
“Mark and Mike provide persistent, patient, honest, and great customer service!”

– Jamase
“Mike purchased our family home. He is a genuine guy and worked with us to stay in the home a little longer than anticipated.”

John got cash for his house in foreclosure

– John N
“I worked with Mark, Jamie, and Mike through the unfortunate circumstance of my foreclosure. I’m extremely satisfied with their efforts.”

See More Testimonials

Why Choose Us for Bankruptcy Sales?

✅ Bankruptcy Experience – We know Michigan court requirements
✅ Fast Closings – Avoid prolonged legal battles
✅ Fair Offers – Based on current market value
✅ No Fees – Unlike realtors charging 6%

We Buy:
✔ Homes in active bankruptcy
✔ Properties with liens/judgments
✔ Underwater mortgages (short sale possible)

Michigan Bankruptcy Exemptions & Home Equity

Homestead Exemption: $38,225 in equity (single filer)
Joint Filers: $76,450 protected
Non-Exempt Equity: Goes to creditors

Example: If your home is worth $200K with a $150K mortgage, you have $50K equity. Under exemption limits, $38,225 is protected, and $11,775 goes to creditors.

FAQs About Selling During Bankruptcy

1. Can I sell if I’m behind on payments?

Yes! We can negotiate a short sale with lender approval.

2. Will selling stop foreclosure?

Yes—if approved by the court, it halts foreclosure proceedings.

3. How fast can you close?

Typically 30-60 days after court approval.

4. Do I need my trustee’s permission?

Absolutely. We help prepare the motion to sell.

Get a No-Risk Cash Offer Evaluation

✔ Free bankruptcy sale consultation
✔ No obligation, no pressure
✔ Help with court paperwork
✔ Possible fresh start

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Final Thoughts: Selling During Bankruptcy Is Possible

Bankruptcy doesn’t have to leave you feeling trapped. Selling your house during bankruptcy in Michigan is possible with court approval and a legitimate buyer like M1 Home Buyers. We provide:

Fast, fair cash offers
No repairs or cleaning needed
Professional handling with attorneys and trustees

Take control of your financial future today.

P.S. The sooner you act, the more equity you may protect. Call now before creditors petition for liquidation!

M1 Home Buyers Reviews

5.0 ★★★★★ Home Buyers in Michigan

See More Google Reviews

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Get A Cash Offer From M1 Home Buyers!

Michigan

M1 Home Buyers | Sell My House Fast – We Buy Houses For Cash
7091 Orchard Lake Rd Ste 285, West Bloomfield Township, MI 48322
(248) 397-5800

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We Buy Houses All Across Michigan