Will I lose my house if I must file for bankruptcy?

The short thing is it depends. In a Chapter 7 case, while you will lose assets but debts, you can either formally reaffirm the mortgage loan or, in some judicial districts, just keep making payments. If you fail to make payments, and have some equity in your home, Chapter 13 bankruptcy may be a better choice for you because it lets you to pay off the past debt arrearages (mortgage) over time and therefore face lower risk of losing your home to the court. A key thing in a Chapter 13 case is whether a debtor whose mortgage loan is in default can make the larger loan payments (the missed payments plus resuming the original payments) over the repayment period. Finally, if your home paid worth is larger than the states homestead exemption, Chapter 7 is not the choice since you would in all likelyhood lose your house.