“Your Trusted Home Buyer REI Branded Home Buyer”
Bankruptcy offers financial relief for many Washington residents, but it also creates challenges when it comes to selling property. If you’ve recently filed for bankruptcy or are considering it, you may be wondering whether you can sell your house and how the process works. This guide explains the differences between Chapter 7 and Chapter 13 bankruptcy, the role of exemptions, and how to sell a home quickly after bankruptcy.
Understanding Bankruptcy and Real Estate
There are two primary types of bankruptcy that affect homeowners in Washington:
- Chapter 7 Bankruptcy: A liquidation process where non-exempt assets may be sold to repay creditors.
- Chapter 13 Bankruptcy: A repayment plan that allows homeowners to keep assets while paying debts over time.
In both cases, selling a home typically requires approval from the bankruptcy trustee and, in some situations, the court.
Washington Homestead Exemption
Washington offers a homestead exemption that protects a certain amount of equity in a primary residence from creditors. As of 2025, this exemption can cover hundreds of thousands of dollars, depending on county property values. This protection plays a major role in whether a home must be sold during bankruptcy.
Can You Sell Your House After Bankruptcy?
Yes but the process depends on the type of bankruptcy:
- Chapter 7: The trustee may sell your home if equity exceeds exemptions. If not, you may be allowed to sell the property yourself.
- Chapter 13: You can often sell with court approval, but proceeds may need to go toward your repayment plan.
Challenges of Selling After Bankruptcy
Homeowners often face obstacles such as:
- Trustee approval: You cannot sell without authorization.
- Liens and debts: Liens may still be attached to the property.
- Damaged credit: May limit traditional buyer interest or delay closings.
- Timing issues: Bankruptcy timelines can restrict when a property can be sold.
Why Cash Buyers Are the Best Fit After Bankruptcy
Selling to a cash buyer simplifies the process:
- As-is purchase: No repairs or upgrades required.
- Fast closing: Transactions complete in 7–10 days once trustee approval is secured.
- Certainty: No financing risks or buyer delays.
- Debt resolution: Proceeds can go directly toward settling obligations, satisfying the court.
Step-by-Step Guide to Selling a House After Bankruptcy
Here’s a roadmap for Washington homeowners:
- Consult your bankruptcy attorney: Confirm whether you’re eligible to sell and what approvals are needed.
- Check homestead exemption status: Determine how much equity is protected.
- Request trustee or court approval: File motions if required.
- Decide on a sale method: Traditional listing vs. cash buyer sale.
- Close and distribute proceeds: Ensure debts are satisfied according to court rules.
Financial Benefits of a Cash Sale After Bankruptcy
Cash buyers help homeowners move forward quickly by removing delays, avoiding failed financing, and reducing stress. This is especially critical for those looking to rebuild credit and financial stability.
Helpful Resources for Washington Homeowners
- U.S. Courts – Bankruptcy Basics
- Washington State Government
- Washington Homestead Exemption – RCW 6.13
- REI Branded Home Buyer
Why Work With REI Branded Home Buyer
At REI Branded Home Buyer, we work with Washington homeowners facing bankruptcy and financial distress. Our cash offers provide speed, certainty, and a path forward without additional stress or delays.
Take the Next Step
Are you selling a Washington home after bankruptcy? Contact REI Branded Home Buyer today for a no-obligation consultation. We’ll work with your trustee and provide a simple, stress-free solution.
Contact Information
REI Branded Home Buyer
Phone: 509-769-3439
Email: info@reibrandedhomebuyer.com
Website: www.reibrandedhomebuyer.com
Disclaimer: This blog post is for informational purposes only. It does not constitute legal, financial, or real estate advice. For specific guidance regarding your property or situation, please consult a licensed professional.
