Legal Question in Real Estate Law in Arizona

The Homestead Act protects any homeowner's equity up to an amount equal to $150,000, against unsecured creditors. When you bought your home and obtained a mortgage, the lender has the property as security for payment of the mortgage, without limitation. If you sold your house for $300k and your mortgage was $200k, then the remaining $100k would be protected and yours, even though there are other claims against you. The purpose of the act was to provide an opportunity for you to purchase another home with that equity.