Lets say you own some real property in another country. How will it effect your bankruptcy?

In most cases, the foreign real property counts as an asset in your bankruptcy if you could sell it. In some countries, there is no private ownership of land e.g Samoa where the chief owns all the land and allows his subjects to use it. So if you had a house in Samoa, it would be listed in the bankruptcy with a value of 0.

If it is land in a country where it could easily be sold, like Canada or Western Europe, the value would be fair market value minus costs of selling (usually 6-10%). The more unstable or difficult to sell the real property is, the greater the deduction from the fair market value.

Lastly, the Trustees can find out about foreign real property or transfer/sales, even in the Philippines. So don’t think you can get away with not disclosing real estate or just transfer it away without the Trustee finding out. Undisclosed assets or transfers will get you discharge denied or revoked.