If you’ve considered meeting with a bankruptcy attorney, you may be concerned about what could happen to your home after filing for bankruptcy. Most individuals who file for bankruptcy are able to keep their homes. If you’re a resident of Illinois, the Illinois Homestead Exemption may apply to you. This measure can preserve the equity you’ve built up in your home throughout the bankruptcy process.
If you’re single, you can exempt up to $15,000 of your home and other property that may be covered. If you’re married, and you and your spouse are filing jointly for bankruptcy, you can exempt up to $30,000 of your equity. This exemption is applicable to houses, condominiums, co-ops, and mobile homes. Additionally, you can apply the homestead exemption to sales proceeds for up to one year in the event that you decide to sell your home.
To learn more about protecting your home while filing for bankruptcy, meet with the friendly team at Cutler & Associates, Ltd.