This post looks at whether a home is at risk when you file bankruptcy in Illinois. The answer depends on the value of the property compared to what is owed on it, along with the homestead exemption. Those numbers are used to determine whether the property would be at risk in a Chapter 7.
Frequently Asked Questions
Will I lose my house if I file bankruptcy in Illinois?
Whether or not you will lose a home or any asset for that matter when you file bankruptcy in the state of Illinois is really dependent on the value of the property versus what you owe on the property, such as a mortgage, a second mortgage, a home equity line of credit.
And then you also have what’s called a homestead exemption, which is an additional protection that the state of Illinois affords individuals for their primary residence. Those numbers are looked at to determine whether the property would be at risk in a Chapter 7 or not.
Are you struggling financially? Pratt & Maegli Law Firm in Rockford helps Illinois families and individuals explore Chapter 7 and Chapter 13 options with clear answers and a personal approach. Call (815) 315-0683 or visit rockfordbankruptcytoday.com to schedule a confidential consultation and take the first step toward real financial relief.