Legal Question in Bankruptcy in Illinois

Re: homestead property -brankruptcy law in il

That depends on a number of factors.

Illinois homestead is $7500.00 for a single person and $15,000.00 for a couple. Also there is a $2000.00 "catch all" exemption. So you have a potential homestead of $19,000.00.

What is your level of Debt? What is your equity in the house?

If you equity exceeds your debt plus the homestead exemption, you house may be at risk.

email me if you have any questions

Re: homestead property -brankruptcy law in il

You are entitled to exempt $15,000 of equity in the home ($30,000 if married and filing jointly) The court will also do a liquidation test, so you can subtract about 5-6% off the value to account for costs of sale, etc.

After then subtracting the mortgage balances from the fair market value would leave you with any equity that is left.

If no equity, then you are would be a candidate for chapter 7. Contact me and I'll be happy to offer you a free consultation. Thanks

Terry Leeders

Leeders & Associates, Ltd.

Re: homestead property -brankruptcy law in il

In Illinois you have an exemption of $15,000 for real estate. $30,000 if it is joint. This means if you have this amount of equity or less you can keep the house. Usually, you can even have more equity without a problem.

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Richard Sexner