Can a judgement include lien on home in this case?

[hearr]

Our case is somewhat unusual. My wife has filed a chapter 7 bankruptcy on credit card debt she has only in her name. In case this bankruptcy is disallowed by the courts for whatever reason, I have a question. BTW, we live in the state of Texas.
We have a home here in Texas of which the home mortgage is strictly in my name. However the deed to our home obviously shows both my name & my spouse. If her bankruptcy is disallowed for whatever reason & she is not allowed to file, can any of her credit card creditors get a judgement against her which would include a lien on our home even though the mortgage is only in my name?

Thanks,

[CPO]

Google Texas Homestead Exemption......

You will find it interesting.

Article 16 of the Texas Constitution provides for a Homestead Exemption for Texans. A city homestead has 10 acres of land and the home on it. A rural homestead has two hundred (200) acres of land, and the structures on them. You may have either a city or rural homestead, but not both.

The only types of liens that are good against a homestead are:

Liens for purchase money loans (money that you borrowed to buy the property);

liens for home improvements;

home equity loans; and

liens for taxes.

Accordingly, general creditors cannot seize the homestead and it does not pass to a trustee in bankruptcy. You must continue to pay the creditors with legitimate liens on the homestead or they can foreclose.

Also, contrary to what some people believe, a creditor who has a judgment does not have a lien that is good against a homestead. But, when you go to sell your homestead, you may have a problem. If there are judgments against you, a title company probably will refuse to issue a title policy unless the judgments are removed or the funds escrowed with the title company to pay the judgments. It is usually the title company's position that it does not know whether the property is really homestead or not. It simply will not take the risk that the property is not homestead.

For the property to be homestead, it is not necessary that you have claimed it as such for the purposes of property taxes. You should reside in the property or maintain your business there. In addition, homestead is a "state of mind." That is, you should intend that the property is your homestead. Even if you currently live elsewhere or have temporarily rented the homestead, it may not lose its homestead character if you intend to return.

There are many lawyers in Texas that make quite a living vacating judgements to enable homeowners to sell their property. All they have to do is prove to the court that the homestead exemption was claimed and provide proof. They serve the title company and poof! the policy is issued....

I suggest you claim your homestead immediately. Contact your local property tax office for the form. Fill it out, mail it in. Possibly enjoy a slight decrease in property taxes too.

Additionally, look into other factors such as garnishment, tax liens, judgements, seizures etc. I think you will find that many Texans are pretty much judgement proof. Judgements are placed on folks all the time. But collecting....that's the hard part.

CPO

[hearr]

Thanks....

Google Texas Homestead Exemption......

You will find it interesting.

Article 16 of the Texas Constitution provides for a Homestead Exemption for Texans. A city homestead has 10 acres of land and the home on it. A rural homestead has two hundred (200) acres of land, and the structures on them. You may have either a city or rural homestead, but not both.

The only types of liens that are good against a homestead are:

Liens for purchase money loans (money that you borrowed to buy the property);

liens for home improvements;

home equity loans; and

liens for taxes.

Accordingly, general creditors cannot seize the homestead and it does not pass to a trustee in bankruptcy. You must continue to pay the creditors with legitimate liens on the homestead or they can foreclose.

Also, contrary to what some people believe, a creditor who has a judgment does not have a lien that is good against a homestead. But, when you go to sell your homestead, you may have a problem. If there are judgments against you, a title company probably will refuse to issue a title policy unless the judgments are removed or the funds escrowed with the title company to pay the judgments. It is usually the title company's position that it does not know whether the property is really homestead or not. It simply will not take the risk that the property is not homestead.

For the property to be homestead, it is not necessary that you have claimed it as such for the purposes of property taxes. You should reside in the property or maintain your business there. In addition, homestead is a "state of mind." That is, you should intend that the property is your homestead. Even if you currently live elsewhere or have temporarily rented the homestead, it may not lose its homestead character if you intend to return.

There are many lawyers in Texas that make quite a living vacating judgements to enable homeowners to sell their property. All they have to do is prove to the court that the homestead exemption was claimed and provide proof. They serve the title company and poof! the policy is issued....

I suggest you claim your homestead immediately. Contact your local property tax office for the form. Fill it out, mail it in. Possibly enjoy a slight decrease in property taxes too.

Additionally, look into other factors such as garnishment, tax liens, judgements, seizures etc. I think you will find that many Texans are pretty much judgement proof. Judgements are placed on folks all the time. But collecting....that's the hard part.

CPO

Thanks for the very informative response...