Property Ownership

What is the Nevada homestead law's protection against a forced sale of the primary residence?

AThe homestead provides no protection against mortgage foreclosure
BA properly recorded Nevada homestead declaration protects up to $605,000 of equity from forced sale by unsecured creditors, but does not protect against mortgage foreclosure, property taxes, or mechanic's liens✓ Correct
CThe homestead protects all equity in Nevada regardless of amount
DThe homestead also protects against property tax foreclosure

Explanation

Nevada's homestead exemption (NRS Chapter 115) protects up to $605,000 of primary residence equity from judgment liens and forced sale by unsecured creditors. It does NOT protect against: deed of trust foreclosure, property tax liens, mechanic's liens, or liens created by the homeowner. It must be formally recorded to be effective.

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