When you file Chapter 7 and surrender your home are the judgment and liens removed from home for next owner if they were in Chapter 7?

You have asked a complicated question. State laws differ somewhat in terms of bankruptcy. Bankruptcy law is federal, but utilizes state laws for certain aspects so you should check to see which rules your state follows.

Briefly and generally, a trustee in bankruptcy can abandon property if it has no equity or is difficult to sell. If the trustee is doing their job properly she/he will file a Notice of Abandonment in the land records to notify creditors of the intent not to sell the property. That gives the property back to the debtor and any other creditor that may have an interest in the property. A lender can proceed with a foreclosure for a mortgage in default. In that case, the foreclosure would wipe out any creditors that came after the lender as to that property only. Abandonment does not wipe out liens. However, property is only abandoned if it has little or no value. Also, a properly conducted foreclosure will pass legal title to the bank or the buyer.

On the other hand, if you mean your trustee in bankruptcy has possession of your real estate the procedure is different. A trustee in bankruptcy can petition the court for leave to sell the real estate free and clear of liens if the sale will bring funds into the bankruptcy estate to distribute to creditors. If allowed, this procedure will enable the trustee to convey legal title to the premises and the buyer takes the property free of liens.