Facing bankruptcy can feel overwhelming, especially when you’re worried about keeping a roof over your head. Thankfully, Florida offers a generous homestead exemption, allowing you to protect an unlimited value if your home is less than.
But what if you rent your home instead of owning one?
How Florida’s homestead protection shifts for renters
The Sunshine State’s homestead exemption only applies to homeowners. If you’re renting property, whether it’s a house or an apartment, you can’t take advantage of this protection. However, you’re not at a total disadvantage if you don’t own a home in Florida. Individuals who don’t claim homestead protection get the wildcard exemption.
Extra protection with the wildcard exemption
Florida’s wildcard exemption becomes your strongest ally when you don’t own real estate. This special provision lets you protect up to $4,000 worth of personal property. If you’re filing for bankruptcy jointly with your spouse, you can get up to $8,000 worth of exemptions.
You can apply this protection to your:
- Vehicle
- Electronics
- Furniture
- Jewelry
- Work equipment
- Hurricane and health savings
The flexibility of the wildcard exemption allows you to choose which assets matter most to your situation. This helps ensure you maintain essential items for daily living while getting back on your feet.
Maintain your assets and rented home
If you’re worried about getting evicted because you filed for bankruptcy, don’t be. The automatic stay prevents landlords from evicting you immediately after filing. This gives you breathing room.
While you will need to continue making rent payments, you have options you can explore. With the wildcard exemption, you may protect high-value assets you can later sell to cover housing costs if needed. As such, there’s no reason to let renting discourage you from seeking a fresh start with bankruptcy in Florida.
