What is the most equity that me and my husband should have on our home to qualify for a bankrupcy? Yes we are married.

Qualifying for bankruptcy has nothing to do with equity in your property.   Your choice of which Chapter of bankruptcy to file might be affected by that, however. You have approximately $140,000 of equity in your property based on the facts you provided.  Assuming you have resided in that property in California for more than the last 2 years prior to filing a bankruptcy case, California's exemption laws would apply in your case.   California has a homestead exemption of $100,000 for a married couple.  If you are over 65 or disabled or over 55 years old and have joint annual income below $35,000, then you have a $175,000 homestead exemption.   If you only qualify for the $100,000 exemption, then your home would be potentially at risk of being sold by a bankruptcy trustee in a Chapter 7 case although after factoring in costs of sale, a Chapter 7 Trustee might decide not to sell the property.  However, you could avoid the risk altogether by filing a Chapter 13 case and paying out the amount of the excess equity (minus estimated costs of sale) which would actually be zero when you factor in those costs.   So you could possibly do a very minimal Chapter 13 payment of maybe $100 per month for 36 to 60 months to deal with the debt. Whether Chapter 13 or 7 makes sense for you depends on what other assets you have, your total debt, and your budget (as defined by the United States Bankruptcy Code). The only way to determine what your best option is, is to have a consultation with an experienced bankruptcy attorney in your area.