Legal Question in Bankruptcy in Louisiana

Re: Your home in bankruptcy

In a chapter 7 filing, as long as a debtor does not have more than $25,000 in equity in his home and he is current on your mortgage payments, he will generally not lose his home. In a chapter 13 filing, as long as the debtor completes his plan and maintains his regular monthly mortgage payments, he will not lose his home. Your individual situation should be discussed thoroughly with a bankruptcy lawyer.

Re: Your home in bankruptcy

Many people file a chapter 13 in order to save their homes. A chapter 13 is ideal for stopping the sheriff's sale of your home and for catching up home mortgage arrears.

Louisiana has a homestead exemption of $25,000.00, so you can protect that amount of equity in your home. It is possible to keep your home in a chapter 7 case as long as you maintain your monthly payments and have less than $25,000.00 in equity.