Panama City Foreclosure Lawyer is Saying What Happens to Your Property After Filing for Bankruptcy
If you are thinking about filing for bankruptcy or if you already have, you will be considering what will happen to all your properties. In many cases, nothing will happen to your property when you go bankrupt, but Lewis and Jurnovoy, experts on mortgage modification, will be covering everything that can happen to your property after bankruptcy.
In most cases, the kind of bankruptcy you file can impact what happens to your property. For Chapter 13 bankruptcy, you will always be able to keep all your property. Having said that, you must develop a plan to say how much debt you will repay yearly. Also, you will need to make monthly payments according to your repayment plan for 3-5 years before your debt is removed.
In Chapter 7 bankruptcy, the procedure is a little different. If you file for Chapter 7 bankruptcy, you do not need to settle your debt as you do in Chapter 13 bankruptcy. Instead of settling your debt, you need to surrender all your property. This means that you may lose your property if you are not exempt under Florida law. When your property has been sold, you will be discharged from bankruptcy. However, how do you know if your property will be exempt? We will be looking at a few exemptions below, so you can figure out if your property will be taken or not.
Homestead Exemption
The homestead exemption refers to a Florida homeowner's house and is a generous exemption. If you have owned your house for 1215 days, or just over 3 years, then you can exempt an unlimited amount of equity in your home. One constraint on this exemption is that the house and its land cannot be a half-acre within the limits of the city and cannot be 160 acres outside of the city. If you haven't owned your home for the required amount of time, the exemption will cover just $170,000 in equity. This is still all right for you because most homes will still be eligible, particularly since new homes have most of their equity consumed by a mortgage.
Motor Vehicle Exemption
The motor vehicle exemption in Florida is limited compared to the homestead exemption. This exemption allows you to claim $1000 in equity per person, so as much as $2000 overall for a couple filing jointly for bankruptcy. This might be enough for most newer cars, but most older vehicles will not be worth that much.
Wildcard Exemption
A wildcard exemption can only be used if you did not previously use the homestead exemption. This exemption enables you to claim around $4000 or $8000 for a married couple. This can be used on any property except land, including your car, so that's good.
If you have any other questions regarding bankruptcy or debt consolidation, call Lewis and Jurnovoy today.
Lewis and Jurnovoy is a local law office serving the Florida Panhandle. We specialize in bankruptcy law, including Chapter 7 and Chapter 13 bankruptcy. We will work to achieve the best financial remedy for your outstanding debts.
Lewis & Jurnovoy PCB
2714 West 15th St
Panama City, FL 32401
(850) 913-9110
Comments
Post a Comment