Q: In bankruptcy on schedules b106a/b when they ask about real estate property. How do I answer the current valve of the
portion I own? If I am paying a mortgage on the house and owe 67k on the home, but it's worth 85k would I put the property percent as roughly 15% because I owe the bank still the 67k or would I make it 100%
A: On Schedule A/B, you should list the full current value of the property, which in your case would be the $85,000 market value. The percentage of ownership you are referring to is not the percentage you own versus the bank's interest, but rather your actual ownership percentage if the property is co-owned with others. Your mortgage and the equity you have in the home will be detailed in other parts of the bankruptcy forms, particularly in Schedule D, where you'll list secured claims like your mortgage. The equity you have, which is the home’s value minus what you owe on the mortgage, will be considered in determining whether you can exempt all of your equity in the property through the available bankruptcy exemptions.
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