Real Estate Assets and Types of Legal Interest
A debtor filing for bankruptcy is required to account for all real estate assets they own. In addition to listing these assets in full for a bankruptcy trustee, the debtor also has a responsibility to report what the debtor’s legal interest in each piece of property is. Depending on how the debtor owns or has the rights to control a particular piece of property, they need to describe this status on their bankruptcy paperwork.
If you’re considering filing for bankruptcy, you may want some assistance in working through the paperwork and court processes involved. For more information about how we may be able to make your bankruptcy easier to handle, contact Florida bankruptcy lawyer Ryan J. Really, Attorney at Law, PLLC, today at (239) 237-0675.
Describing Legal Interest for Real Estate
Real estate properties need to be carefully documented by a debtor going through bankruptcy. In particular, they will need to list their properties under the following types of legal interest:
- Fee simple, or ownership of a property
- Future interest, or ownership of a property at a future date
- Contingent interest, or ownership of a property after certain conditions are met
- Life estate, or ownership only during a person’s lifetime
- Power of appointment, or ownership or control through a will or transfer of property
- Easement holder, or the right to use another person’s property
- Beneficial ownership under a real estate contractor, or ownership without the completion of all necessary formalities
- Lienholder, or the ownership over a mortgage, lien, or deed of trust
If a debtor has any questions or concerns about these types of legal interest, they may want to consult with an attorney regarding how to address these problems given their own financial details.
Bankruptcy can be a difficult process for a debtor to work through on their own. If you’re thinking about filing, you may want to talk with us about how our legal services may be able to assist you with your case. For a free consultation with an experienced advisor, contact Florida bankruptcy attorney Ryan J. Really, Attorney at Law, PLLC, by calling (239) 237-0675 today.