Colorado Homestead Exemption?

[mattfro]

Here is how it reads...

38-41-201. Homestead exemption

Every homestead in the state of Colorado occupied as a home by the owner thereof or his or her family shall be exempt from execution and attachment arising from any debt, contract, or civil obligation not exceeding in value the sum of forty-five thousand dollars in actual cash value in excess of any liens or encumbrances on the homesteaded property in existence at the time of any levy of execution thereon.

I have a condo that I live in, haven't decided if I'm going to keep it or not, but I have a townhouse in MY NAME that my BROTHER and roommate live in. Yes, they pay me rent, it's about a break even proposition each month. I CANNOT lose that townhouse, nor can I move in.

Is he considered "family" as stated above, or does that pertain to spouses/children?

I GROSS about $80K a year before both mtgs., HOA's, insurance, utilities, all other expenses. I talked to a BK Atty today and he thinks I MIGHT squeeze by on a 7 via the "means" formula? Not sure about that, but I just cannot lose the townhouse, nor can I move in. I think I said that already.

Thoughts?

[keepmine]

The statute applies to your immediate family.
Is there any equity in the 2 properties?

[mattfro]

The statute applies to your immediate family.
Is there any equity in the 2 properties?

So my brother is my immediate family, correct?

Prolly $40K equity in it tops I'm upside $10K in the condo I live in.

The debtors would settle for $35-$40K lump sum, but I can't get a loan with the poor credit and debt/income ratio. It's the same vicious circle.

Colorado gives $45K homestead exemption though, so that equity should be OK, right?

[keepmine]

So my brother is my immediate family, correct?

No, the statute would apply to you and your wife and children. Look at the first sentence you highlighed. Occupied by the owner,etc.
Did you not ask your lawyer about this?
To save the rental, you'd likely need to file a Chapter 13.
Most bk lawyers give free or lowcost intial consultations. Talk with a few and see what they say.

[mattfro]

So my brother is my immediate family, correct?

No, the statute would apply to you and your wife and children. Look at the first sentence you highlighed. Occupied by the owner,etc.
Did you not ask your lawyer about this?

To save the rental, you'd likely need to file a Chapter 13.
Most bk lawyers give free or low cost intial consultations. Talk with a few and see what they say.

Yeah, I have a couple lined up next week. I figured 13, but two of them said 7 was possible. I don't see how. Another thing I can do, and I am sure the atty will suggest this. My brother is on SSI due to Cerebral Palsy, so I'm pretty sure I can get him as a disabled dependent, but he would still be at a different address. I really don't know at this point.

I really think "immediate family" should include my brother, but I did have my doubts.