Usually, yes. Most people who file Chapter 7 keep their home. Two things decide it: whether your equity fits within Nevada’s homestead exemption, and whether you’re current on the mortgage.
If your equity is protected and you keep making payments, filing doesn’t hand your house to anyone. If you’ve fallen behind, Chapter 13 — not Chapter 7 — is usually the tool that lets you catch up and keep it.
It’s the fear that stops a lot of homeowners from even asking the question. The good news is that for most people, the answer is the one they were hoping for — but it depends on two specific things, and it’s worth understanding both before you decide anything.
What actually puts a house at risk?
Only two things. First, equity above what the exemption protects — if your home is worth far more than you owe, some of that cushion could be exposed. Second, being behind on the mortgage — because Chapter 7 doesn’t fix missed payments. If neither of those applies to you, your house generally isn’t in play at all.
How much home equity does Nevada protect?
A lot. Nevada’s homestead exemption currently protects up to $605,000 of equity in your primary residence — one of the most generous in the country. Equity means what the home is worth minus what you still owe on it, so a house with a healthy mortgage usually has far less exposed equity than people assume.
One wrinkle: if you bought the home fairly recently — within about the last three years — a federal rule can cap the amount you can protect. It’s exactly the kind of detail worth confirming for your specific purchase date, and exemption amounts are adjusted over time, so check the current figure rather than relying on a number you read once.
What if I’m current on my mortgage?
Then you’re in the simplest situation. If your equity is covered and you keep paying, you keep the house. Filing doesn’t cancel your mortgage and it doesn’t transfer your home — you go right on making the same payments you always did. Bankruptcy erases other debts around the house, not the house itself.
What if I’m behind?
This is where the chapter matters. Chapter 7 wipes out debt, but it doesn’t give you a way to make up missed mortgage payments — so if you’re behind and the lender is moving toward foreclosure, Chapter 7 alone won’t stop that for long. Chapter 13 is built for exactly this: it lets you spread the past-due amount over three to five years while you stay in the home.
Could the trustee really sell my house?
It’s uncommon. A trustee only has a reason to sell if there’s significant equity above the exemption — and thanks to Nevada’s generous homestead protection, most homeowners have nothing exposed. Even in the rare case where there is extra equity, only the non-exempt portion is ever at issue, and there are often ways to plan around it. For the large majority of filers, the trustee never touches the house at all — the same reason most people keep everything they own.
Being straight with you: if you have a lot of equity above the exemption — a home you’ve owned for decades, or one you bought in cash — that’s a real conversation, not a form. It’s an uncommon situation, but it’s one where the details matter, and it’s exactly the kind of thing Discount Lawyers will flag for you honestly up front rather than let you discover mid-case.
How we help
At Discount Lawyers, a Las Vegas bankruptcy attorney will run the actual numbers on your home — your equity, your exemption, and whether you’re current — and tell you plainly whether Chapter 7 keeps it or whether Chapter 13 is the smarter path. A Reno bankruptcy lawyer on our team does the same up north, in English and Spanish. New to all this? Start with what bankruptcy actually is.
You get a straight answer about your house before you commit to anything.
Common questions
Will I lose my house if I file Chapter 7 in Nevada?
Usually not. Most Chapter 7 filers keep their homes. As long as your equity fits within Nevada’s homestead exemption and you stay current on the mortgage, filing doesn’t take your house.
How much home equity can I protect in Nevada?
Nevada’s homestead exemption currently protects up to $605,000 of equity in your primary residence. If you bought the home within roughly the last three years, a federal rule can limit the amount, so it’s worth confirming your exact figure with an attorney.
What if I’m behind on my mortgage?
Chapter 7 doesn’t cure past-due mortgage payments. If you’ve fallen behind and want to keep the house, Chapter 13 is usually the better tool — it lets you catch up on the arrears over three to five years while you stay in the home.