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Cram Down Investment Properties

On Behalf of | Dec 13, 2019 | Firm News

Fort Lauderdale Lawyer: Cram Down Investment Properties

Florida Attorney Obtaining Investor Debt Reduction

During the housing boom, people were purchasing investment property as a way to increase their income. When the housing bubble burst, many owners were left with rental properties that were worth less than the balance owed. If you are underwater on your real estate investment, you may be able to obtain a court-ordered cram down to reduce the amount due.

At the Law Offices of Michael H. Johnson, we help real estate investors reduce rental property balance to current value through filing Chapter 13 bankruptcy. To discuss if you are eligible to take advantage of this option, call us at 954-535-1131.


Chapter 13 bankruptcy includes a provision that allows owners to cram down investment property to present fair market value. Essentially, a cram down readjusts the principal to reflect the current value of the income-producing property. After you file Chapter 13 bankruptcy, a reasonable repayment plan will be established, allowing you to pay off the lien over the next 60 months.When you visit our offices in Fort Lauderdale or West Palm Beach, a skilled lawyer will evaluate your situation and explain the specifics of a cram down. We will address such issues as:

  • Who is eligible for a cram down?

  • How is fair market value determined?

  • What happens after the 60 month repayment period is over?

Rest assured, we will walk you through the process and protect your interests.

Reduce Your Payments and Keep Your Rental Property

Are you interested in reducing your investment property loan to reflect the rental property’s current value? We can help. Please request a free initial consultation with our firm.

For your convenience, we offer evening, weekend and off-site appointments. Our phones are answered by an answering service 24 hours a day/7 days a week.

We accept credit cards. Payment plans are available upon request.