NEBRASKA PROPERTY GUIDE / CHAPTER 13

Can You Sell a House During Chapter 13 Bankruptcy in Nebraska?

Possibly, but a Chapter 13 debtor should not treat the house like an ordinary asset that can simply be sold and closed. The bankruptcy estate, confirmed plan, liens, exemptions, trustee and court approval can affect both the sale and what happens to the proceeds.

Start with your bankruptcy attorney, not a buyer

Federal bankruptcy law places property interests into the bankruptcy estate, and Chapter 13 debtors have continuing duties and rights under the Bankruptcy Code. Local procedure may require a motion and notice before a real-estate sale is approved.

Do not sign a “quick cash” deal first and ask permission later.Give your bankruptcy attorney the proposed price, buyer, financing, closing date, liens, estimated costs and expected proceeds before relying on the contract.

The sale file needs more than an offer

  • Current mortgage and lien payoffs
  • Estimated net proceeds
  • Property valuation support
  • Purchase agreement and buyer information
  • Proposed use or treatment of proceeds
  • Attorney/trustee/court requirements

A sale may be sensible and still require a process that protects creditors and the debtor. If the property is also in mortgage distress, see pre-foreclosure in Nebraska.

Sources checked September 19, 2026: U.S. Courts Chapter 13 basics; U.S. Bankruptcy Court, District of Nebraska. This is not bankruptcy or legal advice.