QUESTION: Can a divorce lawyer go for my home if there is an issue for payment?
I am seeking payment for my lawyer,from my husband, in an impending divorce.
If something went wrong, can the lawyer go after the equity? This is our first home and only had it for 3 years...Also, I do not know how to find out what our equity is.Can you help? I know I will need to plan ahead.
ANSWER: The equity of your home is equal to the home's current value minus the current remaining balance of your mortgage. It's a simple calculation: Assets = Liabilities + Equity, which can be rewritten to: Equity = Assets - Liabilities. Your home is an asset, and your mortgage is a liability.
As for paying your lawyer, it depends a lot on the amount of money you owe, the value of your home, whether you're able to file bankruptcy, etc. There are a lot of factors to consider before I could give you any kind of useful answer. Even then, I'm not a lawyer, so the best I could give you is the financial perspective on it - not a legal one.
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QUESTION: my recent property value (property tax assessment)for the home has went up.
Does that mean that ,that value assessment (-)what is left owing = the equity?
And is that what a person can borrow at a bank as well,ie: a home equity loan?
Is that equity what a lawyer might seek to get compensation from,possibly?
Yes, the value assessment minus the amount of your mortgage remaining equals your equity. Yes, this is what you borrow against in a home equity loan, or a home equity line of credit, wherein you use your home as collateral in a secured loan. If a person gets sued, they cannot force the person to take a loan to pay the amount. They also cannot take the equity from them, because equity is just an abstract concept that refers to the amount of value they own - they would just take the home. I'm not saying that's what is going to happen, but that's how it works when it does happen.