Maida Law Firm, P.C., one of the most common questions we receive is “Will I lose my
house if I file for
bankruptcy?” This is a completely understandable concern, because the home
is the most valuable and necessary property owned by most people. Fortunately,
we are here to tell you that your chances of losing a home to bankruptcy
in Texas are very slim! Here’s why.
Texas Homestead Exemptions
Everyone who files for
Chapter 7 bankruptcy has the right to certain exemptions, meaning property that
is immune from being liquidated as repayment for the debts. Consumers
can choose either federal exemptions or state exemptions, depending on
which offers the better options for their situation. For Texans, the better
option is almost always to file for state bankruptcy exemptions.
The Texas homestead exemption is among the most generous in the nation.
Unless you have lived here for less than 40 months (3 years and 4 months
total), there is no limit to the value of your home when claiming homestead
protection. This means that, no matter how much your home is worth, you
can keep it when filing Chapter 7 bankruptcy and claiming Texas homestead
The only exceptions to this rule:
- The property cannot exceed 10 acres in a city, town, or village (urban
- The property cannot exceed 100 acres elsewhere, or 200 if occupied by a
family (rural homesteads).
- If you have lived in Texas for less than 40 months, then you can only protect
a home worth up to $146,450.
Want to Learn More About Texas Bankruptcy Exemptions? Call Us!
The only way to know for sure if you qualify for a homestead exemption
is to speak with a Houston bankruptcy attorney. Maida Law Firm, P.C. is
here to help you understand exactly where you stand, what options are
available to you, and how best to move forward. Let us help you find relief
from overwhelming debt.
Contact us at (409) 234-1490 in Beaumont or (713) 396-5094 in Houston.*
*Houston office visits by appointment only.