Will you lose your home if you file bankruptcy?
In Chapter 13 bankruptcy, you will probably be able to keep your house if you stay current on your mortgage payments. In Chapter 7 bankruptcy, it depends on the value of your house. You can keep certain exempt equity in your house the value of which depends on the state where you live (or you recently lived). In Arizona, you can exempt $150,000 equity in your house. However, if you bought your house within 1215 days (approx. 3.3 years) prior to filing for bankruptcy, only your equity in the amount of $136,875 can be exempt.