Can I rent my home while working in another city?

Q: Can you rent to own with bankruptcies?

Rent-to-own agreements can be complicated if you have filed for bankruptcy. While it is possible, many landlords may be hesitant to enter into such agreements with someone who has a bankruptcy on their record. It's advisable to discuss your situation with a real estate attorney or financial advisor to explore your options.

Q: Can I rent out my house while in Chapter 13?

Yes, you can rent out your house while in Chapter 13 bankruptcy, but you must obtain permission from the bankruptcy court. Renting out your home can provide additional income, which may be beneficial for your repayment plan. Always consult with your bankruptcy attorney before making any decisions.

Full question:

If I have a principal residence (for bankruptcy purposes) in one town, can I legally rent my residence and then stay in another city to have employment Is it better to lease a section of the home to a roommate? I am staying in Pittsboro, NC for work and I have a home worth $70.000.00 paid for and empty as my residence in Salisbury NC. I could be forced into bankruptcy at some point in the future and need to preserve my equity in this home.

Category: Bankruptcy
Date: 04/07/2025
State: North Carolina

Answer:

The answer depends on your specific circumstances, such as how long you will be living elsewhere. In North Carolina, if you file for bankruptcy, your primary residence is exempt up to $35,000 in value (or $60,000 if you are unmarried and over 65). However, if you rent your home or a portion of it while living elsewhere, it may not qualify as your primary residence. You can only have one primary residence, and you must spend more time there than anywhere else.

Factors that help determine your primary residence include:

Your place of employment.
The location of your family members' main home.
Your mailing address for bills and correspondence.
The address on your federal and state tax returns, driver's license, car registration, and voter registration card.
The location of your banks.
The location of recreational clubs and religious organizations you belong to.

For more information on what qualifies as a primary residence, you can visit the IRS website. Additionally, refer to North Carolina statute § 1C-1601 for details on exempt property in bankruptcy.

This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.

FAQs

What cannot be wiped out by bankruptcies?

Certain debts cannot be discharged in bankruptcy, including child support, alimony, certain taxes, and student loans. Additionally, debts incurred through fraud or willful misconduct are typically not wiped out. It's important to consult with a bankruptcy attorney to understand which debts may remain after filing.

Can you rent to own with bankruptcies?

Can I rent out my house while in Chapter 13?

Can bankruptcy affect renting an apartment?

Yes, filing for bankruptcy can affect your ability to rent an apartment. Landlords often check credit reports, and a bankruptcy can be a red flag. However, some landlords may be willing to rent to you, especially if you can demonstrate stable income or have a co-signer. It's best to communicate openly with potential landlords about your situation.