Can someone help me mull this over?

[DownNotOut]

I am in FL and we have a great homestead exemption here, but the rest of our exemptions are MEASLY! Only $1000 for personal property.

I'm filing later this year, not yet sure when, but the earliest would be July. So I've been thinking on how I can get more leeway with the exemptions. In FL if you don't use the homestead exemption, you can utilize an addition $3000 wild card.

So, my question is.....is there anyway to NOT use the homestead exemption and still keep the house? The home is joint owned by me and my non-filing spouse, so if I don't claim it as exempt can they come after it since he is co-owner?

[2Bshinyandnew]

The Fl exemption is $4000 for filers who do not claim, or do not receive the benefit of a homestead exemption. A filer must show a clear intent to abandon property they may have an interest in at the time of filing in order to be eligible for the $4000 exemption. There really is no way around it. If you attempt to claim the $4000 exemption and you have an interest in a property as tenants by the entirety (spouse) the trustee won't go after the property, they trustee will most likely object to the $4000 worth of property you are attempting to exempt and go after that.

see:

http://www.flsb.uscourts.gov/opinions/JKO/pdf/08-16859OLIVER.pdf

And this case:

http://www.flsb.uscourts.gov/opinions/RAM/pdf/07-16379HERNANDEZ.pdf

is almost identical to your situation.

[Florida30]

What kind of intent would you have to show to abandon the property?

I am on the title of a house in FL (1/2 interest), not on the mortgage.

[DownNotOut]

What kind of intent would you have to show to abandon the property?

I am on the title of a house in FL (1/2 interest), not on the mortgage.

[DownNotOut]

Thanks for those, 2B! That's a big help!

[limage]

Is the homestead exemption applied if your home is upside down in value and you want to keep it? That doesn't seem fair. Just curious- don't know if you are upside down or not- but assuming since you are in FL.

[DownNotOut]

Is the homestead exemption applied if your home is upside down in value and you want to keep it? That doesn't seem fair. Just curious- don't know if you are upside down or not- but assuming since you are in FL.

Apparently not. In the first case that 2B listed, that is what the debtor tried to claim, that since they were "underwater" in their home, that they didn't need the homestead exemption. The trustee objected and the judge agreed that the homestead exemption applies to any future equity. So the trustee was allowed to object to the debtor using the wild card for other personal property.

It seems either way, I must use the homestead exemption unless I plan on surrendering the house, which I don't. AFAIK, we are not yet upside down. But I would need an appraisal to know for sure. I am not going to walk away from equity, so I am attempting a loan modification before I file. I haven't decided yet when I will file. It could be as early as July or I may wait til next year.