Fact Pattern 33-2Mary's home is in a state that has a $30,000 homestead exemption. Mary defaults on a $60,000 debt that she owes to Nina. Mary's home is sold at auction for $80,000.
-Refer to Fact Pattern 33-2.Nina may recover

Question

Quizplus · Accepted Answer

Mary's homestead exemption of $30,000 is subtracted from the sale price of the home ($80,000 - $30,000 = $50,000). As Mary defaulted on a $60,000 debt to Nina, and the sale price minus the homestead exemption is only $50,000, Nina cannot recover the full amount owed to her. However, she can recover the amount of the sale price minus the homestead exemption, which is $50,000.

Fact Pattern 33-2Mary's Home Is in a State That Has