Legal Question in Bankruptcy in California

This will really depend on another of things and is difficult to asses based on the information you provided. In California there are two exemptions systems that can be used when you file for bankruptcy:703 and 704. Under 704 system, it allows you to protect $50,000 in home equity for a single individual, $75,000 for a family unit, $150,000 if you are 65 years or older, or physically and mentally disabled, or 55 years or older and gross income of no more than $15,000 a year or if married not more than $20,000 a year. Keep in mind that that you must reside in the home in order for the protections to apply. How much equity can be protected in the property will also depend on how title to the property is structured.

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