Anyone walk away with cash from home sale?

[ansky0007]

We are planning on saving our home or atleast that is our goal. We have $40k in home exemptions and our home is worth around $500k, We owe $404k so there is only $96k in equity. Lawyer has told us we should not have a problem keeping it because there is no equity left after the trustee would sell it pay 10% in real estate expenses and minus the exemptions... $500k - $50k real estate = $450k minus $40k in exemptions = $410k minus what we owe of $404k = $6k left.

Only issue we would have is if the trustee can find that our house is worth more than $500k...

But in any case lets say they did sell the house on us... Would we get to keep the $40k of the exemption and walk away with it?

[Tbornetun]

How recent was your appraisle? One common thing our clients don't realize is the value of their home. Some have had appraisles done 2 years ago for $450k and the same home only appraises at $300k in today's market. 99% of the people I see have negative equity in their homes. It may be worth checking into.

[ansky0007]

Unfortunately 2 weeks ago I got the appraisal... One house 5 doors down sold for $450k 2 months ago and one around the block last month for $515k so I am somewhere within this range.

[fltoo]

Go to zillow.com to get an estimate of home value also. They usually keep up to date on last sale price. It will also give you the value of all the houses in your neighborhood.

[ansky0007]

Go to zillow.com to get an estimate of home value also. They usually keep up to date on last sale price. It will also give you the value of all the houses in your neighborhood.

Yes, I am fully aware of this and know the value already as mentioned. My question is if we let them take the house do they have to give us a check for the exemption we were allowed which would be $40k?

[fltoo]

Yes, you get your exempted money.

[ansky0007]

Thats not a bad deal then... I just wish these trustee's did not get paid commission. But I guess they need an incentive to try to squeeze everyone. If I would not have to use that $40k towards paying back my unsecured creditors atleast that would be a nice start.