Increased equity in your home during bankruptcy.
June 14th, 2007 by Questions
I understand that a individual can have up to $40,000 of equity in their residence in Alberta. What happens when a individual has declared bankruptcy, especially in a hot real estate market , and the equity increases substantially over the nine months of bankruptcy.Example,Before a person declares bankruptcy, the value is $250,000, a mortgage of $220,000 ,but while in bankruptcy (nine moths later) your home increases in value to $350,000. Will a person be penalized after nine months before they are discharged?