Good news for California Homeowners.
The Orange County Bankruptcy attorneys at Shakoori Law Group are excited with the recent changes in the California homestead exemptions. These exemptions are in placed to allow homeowners with limited means to maintain their homes and not have to leave the homes they have lived in for years. Pursuant to the Assembly Bill 1046, effective January 1, 2010, the California homestead exemptions have been increased as such:
Automatic homestead - Changed from $50,000 to $75,000 ;
Automatic homestead (debtor's spouse or a minor dependent living in the residence has no interest or only a community property interest in the homestead) - Changed from $75,000 to $100,000
Automatic homestead (debtor is a senior, disabled, or 55 years of age or older and has limited income) from - Changed from $150,00 to $175,000.
This change will allow more equity in the home to be exempted upon filing bankruptcy. For example, previously a family with more than $75,000 equity after cost of sale could have faced liquidation of family’s home upon filing a Chapter 7 Bankruptcy or would have had to pay more of the family’s unsecured debts in a chapter 13 bankruptcy. However with the new changes, the Orange County bankruptcy attorneys at Shakoori Law Group are now able to help more homeowners qualify for bankruptcy and still keep their homes. Contact the Orange County bankruptcy lawyers at Shakoori Law for any further information.
