A "Homestead Exemption" is a provision that allows a homeowner to keep their property in the event of financial insolvency. This would apply to bankruptcy, losing lawsuits, and seizure of assets during an investigation or criminal case.
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"They" can take everything from you, except for the home in which you live, up to a certain value (assuming it's paid off and not owned by the bank).
Each state has its own limitation on how much value is protected under that provision.
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Virginia and Tennessee's limits are $5,000, for example. Rhode Island is $500,000. So you can see they vary greatly.
If one lives in, say, New York, the exemption protects a real estate asset up to $165,500.
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So, if a person's assets were to be seized & their home was in NY, they would be able to keep up to $165,500 in equity.
If their assets were to be seized & their home was in, say, Florida's Mar-a-Lago, they'd be able to keep the full paid-off value of that asset.
All of it.
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This should clear up any confusion as to why Trump has changed his state of residency from NY's Trump Tower to Florida's Mar-a-Lago.
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#Homestead #Trump #TrumpMoving
#MarAlago
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