When you file for personal bankruptcy in Florida, one of the most important steps is valuing your assets correctly. Whether you are pursuing Chapter 7 or Chapter 13 bankruptcy, the value you assign to your property can determine what you keep, what may be sold, and how much you must repay to creditors.
A precise valuation not only ensures fairness but also protects you from costly mistakes that could jeopardize your case.
At Parker & DuFresne, our experienced Jacksonville bankruptcy attorneys guide clients through every stage of the process, including accurate asset valuation. With our help, you can confidently navigate the complexities of bankruptcy while preserving your financial future.
Asset valuation is not about what you originally paid for an item, but what it is worth today. The bankruptcy court wants to know the current fair market value of your property, which is the amount you could sell it for in its current condition.
Common examples of assets that must be valued include:
Each type of asset may require a different approach to valuation. For instance, a vehicle’s value might come from a source like Kelley Blue Book, while real estate often requires a professional appraisal or a comparative market analysis.
In a Chapter 7 bankruptcy, the trustee reviews your assets to determine if any have value that exceeds your available exemptions. Exemptions are laws that allow you to protect certain property, such as your home, vehicle, or personal belongings, from being sold to pay creditors.
If you undervalue your property, it could appear that you are hiding assets, which may lead to an objection or even dismissal of your case. Overvaluing your property can also create unnecessary risks, as it might make it seem like you have more nonexempt equity than you actually do.
Accurate valuation ensures that you keep as much of your property as possible under Florida’s generous exemption laws, including the state’s homestead exemption.
In a Chapter 13 bankruptcy, your assets play a major role in determining your repayment plan. The value of your property helps establish how much you must repay to unsecured creditors over the life of your plan.
If your assets are valued too low, the trustee may object to your plan as unfair to creditors. If your assets are valued too high, you could end up paying more than necessary each month. By providing accurate valuations, you ensure that your repayment plan is realistic and approved without delay.
Mistakes in valuing assets can have serious consequences. Some of the most common issues include:
Getting professional guidance early helps you avoid these costly errors and gives you peace of mind throughout the process.
At Parker & DuFresne, our experienced bankruptcy attorneys understand how crucial accurate asset valuation is to the success of your bankruptcy case. We help clients:
With decades of experience representing clients in Jacksonville and throughout Northeast Florida, we know how to protect what matters most while achieving the financial relief you deserve.
If you are considering filing for Chapter 7 or Chapter 13 bankruptcy, do not take chances with your financial future. Accurate asset valuation is one of the most important steps in the process, and having an experienced bankruptcy attorney on your side ensures that everything is done right from the start.
Contact Parker & DuFresne today to schedule a free consultation and learn how we can help you protect your property, eliminate debt, and start rebuilding your financial life with confidence.
You deserve a fresh start—let us help you make it.
Dealing with bankruptcy doesn’t have to be a single-person job. The bankruptcy lawyers at Parker & DuFresne will help you determine the best course of action to help you get out from under your debt and move forward to a debt-free future.
Call today at 904-733-7766 for a free consultation, or click the button at the top of the page to schedule online.
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