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Writer's pictureDavid Martin

Can homeowners file a Chapter 7 Bankruptcy and keep their house?

Updated: Feb 22, 2021

Prior to July 1, 2020, it was often difficult to protect your house when you filed a Chapter 7 Bankruptcy in Virginia. Most people could only protect $5,000 of equity in a house using the homestead exemption provided for under Virginia law. However, as of July 1, 2020, the Virginia homestead exemption law changed to allow for an additional $25,000 in exemption for real estate used as a principal residence. This change in the law will allow more homeowners to file a Chapter 7 Bankruptcy without fear of losing their home. Of course, each person is different and anyone considering filing for a Chapter 7 Bankruptcy should consult with an attorney.


Required Notice: We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.




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