David and Susan, a married couple in Huntsville, Alabama, own their primary residence. David passes away, and Susan continues to live in the home as her primary residence. A creditor of David's estate attempts to force the sale of the home to satisfy a $28,000 debt. Assuming Susan qualifies for Alabama's homestead exemption as a surviving spouse, which statement best describes her protection?
Correct Answer
C) Susan retains the $30,000 married-couple homestead exemption as a surviving spouse continuing to occupy the residence
Under Code of Alabama §6-10-2 and related homestead provisions, a surviving spouse who continues to occupy the home as their primary residence retains the benefit of the homestead exemption. Alabama law extends homestead protection to surviving spouses, and the $30,000 exemption applicable to the married couple continues to protect the surviving spouse in occupation. Because the $28,000 debt is below the $30,000 exemption, the creditor cannot force a sale to satisfy this debt.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Commingling is the illegal act of mixing client trust funds with a broker's personal or business operating funds; conversion is the misappropriation of those funds.
Continuing education (CE) refers to the ongoing coursework that licensed real estate professionals must complete during each renewal cycle to maintain an active license. CE ensures agents stay current with changes in laws, regulations, and industry practices.
The National Do Not Call Registry is a federal program administered by the FTC that allows consumers to opt out of receiving unsolicited telemarketing calls, including calls from real estate agents soliciting business.
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