My colleague Susanne Robicsek wrote about the implications of a state to state move on filing bankruptcy. Where you live and how long you have lived there drive where you file and what exemptions are available.
A different issue arises when you contemplate moving from a house that’s been foreclosed to rental housing in the same area. The impact of a bankruptcy filing on potential landlords is one of the things I have found hardest to predict for clients. Some landlords want an elaborate application, references, and a credit check; others want far less.
It is my sense that if you must secure rental housing around the time you expect to file bankruptcy, you are better off shopping for and leasing before you file bankruptcy. While your credit score may be poor, being a debtor in a pending bankruptcy is usually scarier for a landlord.
Like any credit transaction you complete before filing bankruptcy, make sure to be completely honest in answering any questions put by the landlord. Lying on your application may invalidate the agreement. You don’t have to volunteer bad news, but don’t willfully misstate the facts.
