The Colorado homestead exemption can keep your home from creditors.
Colorado Homestead Exemption Information
Under Colorado law, people who file bankruptcy are allowed to keep certain property. This property is “exempt” from being used by the trustee to pay the person’s debts.
Colorado Revised Statute Section 38-41-201 protects up to $60,000.00 of a homeowner’s equity in his or her residence. Seniors or disabled people are allowed an exemption of $90,000.00.
That means that the bankruptcy trustee will likely only consider selling your home if you have more equity than the homestead exemption amount, and only then if it is significantly more than that amount, taking into consideration the costs of selling the home.
In order to qualify for the exemption, the debtor must be living in the residence.
Talk To A Colorado Bankruptcy Attorney To See If The Colorado Homestead Exemption Will Protect Your Home
If you have questions about whether the Colorado homestead exemption will protect your home when you file bankruptcy, we hope you’ll come in for a free, no-obligation consultation with an experienced bankruptcy attorney to learn more. You can schedule an appointment using our online system or by calling us at 303.331.3403.
