Entering the water

[SwimminUpStream]

Just lost my job after 16 years. Made super good money, NJ wages while living in Florida. I have no degree in anything which it seems like 90% of employers want these days. Live in the 2nd poorest County in Florida, very rural as well. DH has a good job, but not enough to support us both or even if I could secure 10.00/hr job. Heath insurance just more than doubled to 800.00 per month and as of July I'm on Insulin.

We are not behind on anything...car pmts, mtg, personal loans and credit cards. However personal loans and credit card debt is a ton.

Went to Attorney on Friday and imagine our surprise that we could file Chapter 7.

Now we want to sell home and move to different area where work/wages much better for me. Husband will commute the 75 miles to his job. We have approx 50K equity in home. Will just purchase a mobile home with the cash from sale of house.

Lawyer said we can sell at same time in BK with our homestead exemption in force.

My quandry is do we try and sell now..paying essentials until it sells...., do both at the same time or wait till BK is over then sell. It will be a struggle during BK and after financially.

We will be an asset case to some extent...just not sure how much. Maybe 5k in assets, less the 2k exemption leaving get 3k for us to buy back if wanted.
Head is spinning...blindsided by all of this. Maybe some thought would help.

[justbroke]

You should talk to your attorney about selling BEFORE filing. I don't believe that Florida protects proceeds from the sale of a homestead; they only protect the homestead itself (unlimited homestead exemption).

As to whether the Trustee will want to sell your non-exempt assets, no one can tell. Just be prepared that you may need to "buy" some of that back form the Trustee or be prepared to tell the Trustee to come and get the "junk".

This is a financial decision and you need to work the numbers and make sure your bankruptcy will work! If you sold the home and you "had" a mortgage, remember that the mortgage may be helping you on the "expense' side and keeping you in a Chapter 7. These are things to work through first on paper, then with your attorney.

[SwimminUpStream]

Did talk with attorney on it. We can do. Proceeds from sale have to put in special account called Homestead Exemption. All proceeds must be spent on new homesteaded property and used with 6 months. I'm not too sure if home would sell before BK is over and done with

[justbroke]

That's great with the proceeds. I can't really think of anything else.