Legal Question in Bankruptcy in California

Re: Homestead Act: How does it protect us

You could file a chapter 13 bankruptcy which you can use to catch up on your past due payments. In the event you are unable to catch up on your past due payments, a chapter 13 will only delay the inevitable--but you will get more time to consider your options, i.e. sell, refinance, or similar. You might want to consider a thing called a "reverse mortgage" which allows you to keep your home without making any payments on it for life. Only after your death does the mortgage company get your home. In any event, I would need additional info to assist you. Feel free to contact me so we can set up a consult.

Re: Homestead Act: How does it protect us

What should you? That depends on a number of factors, including how much equity you have in your home and how badly you are behind in the payments.

You might be able to borrow money to catch up. You might be able to sell the property and use the equity to buy something more affordable. You might file chapter 13 bankruptcy and try to catch up on the mortgage payments over time.

Filing a homestead exemption won't help you from a bank that is foreclosing. You should consult an attorney and perhaps a real estate agent or a mortgage broker right away to see what additional options you might have.