Question on home equity

[kafrecovery]

I am hoping to keep my home if I bankrupt. I currently owe $195,000. My appraisal through my tax assessor is $220,000. What is the house worth based on? Will the courts accept the tax appraisal? If not, is it necessary to hire an appraiser? In essence, who determines the worth of the home? In WA state you can have $40,000 or less equity in your home and keep it.
Any feedback?

Thank you,
KAF

[HHM]

Generally, the value of a house is based on "market value", however, there are regional differences in how the BK courts assess value. In some areas, the Accessed Value is close to market, in others, its not. etc etc.

You don't have to hire an appraiser, but you should try and find out what similar homes in your area are selling for so you are prepared in the event they say you have more equity than the exemption.