how to keep the house during bankruptcy?

[phas]

What is the name of your state?ky

house is paid for, appraised for $45k is there any thing we can do to keep
it? need to go bankrupt have little income. large debt.
any suggestions would be nice.

 

[Ladynred]

KY homestead exemption only allows for 5,000 in equity. With 100% equity on a fully paid-for home, the Trustee will be seeing $$ signs and go after the house. About the only way to protect it is to file Ch 13 rather than Ch 7.

How much total debt are you talking about here ??

 

[AttorneyOney]

Actually, there is probably no difference between chapters 7 and 13 if there's no mortgage. People commonly file a 13 in order to cure a mortgage default and prevent a foreclosure.

The OP needs to consult an attorney who has experience in both bankruptcy and estate planning -- and quickly, because creditors may be ready to sue and levy on the house.

 

[phas]

How much total debt are you talking about here ?? 150k

 

[giggle50]

If your filing a chapter 13, the kentucky bankruptcy lawyer will prepare a liquidation test that will provide more money to your creditors in a 13 than a chapter 7 so the court will allow you to proceed with the chapter 13 and keep your property.