Understanding Homestead Exemptions in Kansas and Missouri Bankruptcy Cases
Filing for bankruptcy can be a stressful process, especially when you’re worried about keeping your home. Whether you can keep your house depends on the type of bankruptcy you file and the exemptions available in your state. Here’s what you need to know about homestead exemptions in Kansas and Missouri.
Kansas Homestead Exemptions:
In Kansas, residents may be able to keep their home under the homestead exemption, provided certain conditions are met:
- City Limits: The home must be located on one acre or less if within city limits.
- Outside City Limits: The property must be on 160 contiguous acres or less.
- Federal Time Restriction: You must have owned your home for more than 3 years and 3 months before filing bankruptcy. However, if you transferred equity from a previous Kansas home, it may still qualify as exempt.
If you meet these requirements, Kansas law does not impose a monetary limit on the homestead exemption. However, if you purchased your home within the 3 years and 3 months before filing and were previously renting, the exemption is capped at $214,000.
A homestead can include houses, manufactured homes, mobile homes, and outbuildings, provided they are occupied by you when filing. Vacation homes or rental properties do not qualify for the exemption.
Missouri Homestead Exemptions:
In Missouri, the homestead exemption is subject to monetary limits:
- Homes: Exemption is capped at $15,000.
- Mobile Homes: Exemption is capped at $5,000.
For married couples filing jointly, the limits cannot be doubled. This means the maximum exemption remains $15,000 for homes and $5,000 for mobile homes.
What Should You Do?
Understanding and applying these exemptions can be complex, but they are critical for protecting your assets during bankruptcy. Consulting an experienced bankruptcy attorney can help ensure you take full advantage of the exemptions available to you.
At Walden Legal Solutions, we provide personalized guidance to help you navigate the bankruptcy process and protect your home.
Contact us to receive your stress-free legal assistance.
