Blackford v. Dickey

Robert H. Dudley, Justice.

This case involves the priority of claims and a homestead exemption. The Chancellor held that the appellees’ claims come first. We reverse because the appellants’ claims are prior.

Appellee Ray Baker built a house on the property at issue in Pope County. He and his wife, Glenna, subsequently conveyed the property to their daughter and son-in-law, appellees Mary Ann and Boyd Dickey. To finance the purchase of the property, Mary Ann and Boyd borrowed $60,000 from Arkansas Valley Bank and secured the loan with a mortgage on the property, the first mortgage. They then…