Insight

Learn How a Florida Homestead Can Protect You From Creditors

Learn How a Florida Homestead Can Protect You From Creditors

Roy D. Oppenheim

Roy D. Oppenheim

February 4, 2021 04:43 PM

Florida Homestead Law & Homestead Exemption

Florida Homestead Law

If you are considering moving to Florida, or you are new to Florida, you will hear about something that you are likely unfamiliar with: Florida Homestead. The Florida Homestead law makes purchasing a primary residence exceptionally attractive as it protects a Florida resident’s primary home from a judgment creditor. This means that, should you have a recorded judgment against you, that judgment cannot attach to or become a lien on your homestead. Simply put, a creditor cannot take your house away if you owe money on a judgment.

This homestead protection against a judgment is one of the strongest asset protection tools known in the United States. It is a Florida constitutional law that protects a debtor’s value in his or her primary residence, which frequently leads to judgment debtors relocating to Florida in order to protect their money from collection by a judgment creditor.

What is defined as being included in the Florida homestead protection for judgment creditor purposes?

The Florida Homestead Law refers not only to a single-family home as being protected from judgment creditors but also condominiums, mobile homes, and manufactured homes.

The protection of the Florida Homestead Law has a limitation regarding the lot size of your principal place of residence in Florida. Specifically, homestead protection includes residences within a municipality up to one-half acre and residences outside of a municipality up to a contiguous 160 acres. Contiguous property up to 160 acres is also included in the homestead even if the contiguous property has separate legal descriptions and tax numbers. While there is no restriction on the square footage of the primary physical residence, it is important to note that the protection is prorated if the lot exceeds the size limitations.

What are the exceptions to the Florida Homestead Law?

Exceptions to the Florida Homestead Law include the following:

  • Mechanics liens on the property to build, improve, or repair your homestead
  • Liens recorded prior to acquiring your homestead due to special assessments or homeowner association dues
  • State and property taxes and IRS tax liens
  • Liens given to purchase the property such as a mortgage or home equity loan
  • Property acquired through fraud or a crime

How do I claim my Homestead Protection?

For asset protection, your exemption applies when you occupy your residence with the intent to make your home your permanent residence. For homestead tax exemptions, you will have to apply for the exemption in order to claim the tax exemption.

Does the Florida Homestead protection extend to my heirs?

A creditor of a decedent does not have any additional remedies against the debtor’s homestead after the debtor’s death. Thus, the homestead protection continues. If the heirs sell the property, the sale proceeds will pass to the heirs and trust beneficiaries.

Who does not qualify for homestead?

Any natural person can apply for the Florida homestead exemption as long as the person is a permanent Florida resident, and the homestead property is his/her primary place of residence. A natural person does not include corporations, limited liability companies, irrevocable trusts, or partnerships and as such cannot qualify for homestead.

Florida Homestead Law is not the same as the Florida Homestead Tax Exemption.

What is the Florida Homestead Property Tax Exemption?

Residential property owners are eligible for exemptions that can reduce their property taxes. The Florida Homestead Tax exemption is an example of how Florida homeowners save money on their property taxes each year.

How is one eligible for the Florida Homestead Tax Exemption?

In order to be eligible for this exemption, you must own real property, making it either your permanent residence or the permanent residence of you dependent. If you do so, you may be eligible to receive a homestead exemption of up to $50,000.00; $25,000 of which applies to all property taxes, including school district taxes, and the additional exemption up to $25,000 applies to the assessed value between $50,000 and $75,000 and only to non-school taxes.

The application for filing for homestead can be found here. You must have specific proof that demonstrates that Florida is your primary residence. Evidence, including but not limited to, a Florida driver’s license, utility bills, address on your last IRS return, evidence of giving up your former driver license from another state, bank statement and checking account mailing address, and a Florida voter registration number. Click here for other information regarding the Property Tax Exemption for Homestead Property.

Should you have any questions or are planning to make Florida your primary residence and would like to speak with one of our professionals, feel free to contact us at 954-384-6114. We are here to assist you!

Oppenheim Law | Homestead Exemption Attorneys
2500 Weston Rd #209
Fort Lauderdale, FL 33331
954-384-6114
originally posted at: https://www.oppenheimlaw.com/what-we-do/estate-and-asset-protection-planning/florida-homestead-law-homestead-exemption/

Trending Articles

2025 Best Lawyers Awards Announced: Honoring Outstanding Legal Professionals Across the U.S.


by Jennifer Verta

Introducing the 31st edition of The Best Lawyers in America and the fifth edition of Best Lawyers: Ones to Watch in America.

Digital map of the United States illuminated by numerous bright lights

Unveiling the 2025 Best Lawyers Awards Canada: Celebrating Legal Excellence


by Jennifer Verta

Presenting the 19th edition of The Best Lawyers in Canada and the 4th edition of Best Lawyers: Ones to Watch in Canada.

Digital map of Canadathis on illuminated by numerous bright lights

Legal Distinction on Display: 15th Edition of The Best Lawyers in France™


by Best Lawyers

The industry’s best lawyers and firms working in France are revealed in the newly released, comprehensive the 15th Edition of The Best Lawyers in France™.

French flag in front of country's outline

Presenting the 2025 Best Lawyers Editions in Chile, Colombia, Peru and Puerto Rico


by Jennifer Verta

Celebrating top legal professionals in South America and the Caribbean.

Flags of Puerto Rico, Chile, Colombia, and Peru, representing countries featured in the Best Lawyers

Announcing the 13th Edition of Best Lawyers Rankings in the United Kingdom


by Best Lawyers

Best Lawyers is proud to announce the newest edition of legal rankings in the United Kingdom, marking the 13th consecutive edition of awards in the country.

British flag in front of country's outline

Unveiling the 2025 Best Lawyers Editions in Brazil, Mexico, Portugal and South Africa


by Jennifer Verta

Best Lawyers celebrates the finest in law, reaffirming its commitment to the global legal community.

Flags of Brazil, Mexico, Portugal and South Africa, representing Best Lawyers countries

Prop 36 California 2024: California’s Path to Stricter Sentencing and Criminal Justice Reform


by Jennifer Verta

Explore how Prop 36 could shape California's sentencing laws and justice reform.

Illustrated Hands Breaking Chains Against a Bright Red Background

Announcing the 16th Edition of the Best Lawyers in Germany Rankings


by Best Lawyers

Best Lawyers announces the 16th edition of The Best Lawyers in Germany™, featuring a unique set of rankings that highlights Germany's top legal talent.

German flag in front of country's outline

Celebrating Excellence in Law: 11th Edition of Best Lawyers in Italy™


by Best Lawyers

Best Lawyers announces the 11th edition of The Best Lawyers in Italy™, which features an elite list of awards showcasing Italy's current legal talent.

Italian flag in front of country's outline

Tampa Appeals Court ‘Sends Clear Message,” Ensuring School Tax Referendum Stays on Ballot


by Gregory Sirico

Hillsborough County's tax referendum is back on the 2024 ballot, promising $177 million for schools and empowering residents to decide the future of education.

Graduation cap in air surrounded by pencils and money

Find the Best Lawyers for Your Needs


by Jennifer Verta

Discover how Best Lawyers simplifies the attorney search process.

A focused woman with dark hair wearing a green top and beige blazer, working on a tablet in a dimly

Key Developments and Trends in U.S. Commercial Litigation


by Justin Smulison

Whether it's multibillion-dollar water cleanliness verdicts or college athletes vying for the right to compensation, the state of litigation remains strong.

Basketball sits in front of stacks of money

Woman on a Mission


by Rebecca Blackwell

Baker Botts partner and intellectual property chair Christa Brown-Sanford discusses how she juggles work, personal life, being a mentor and leadership duties.

Woman in green dress crossing her arms and posing for headshot

Best Lawyers Celebrates Women in the Law: Ninth Edition


by Alliccia Odeyemi

Released in both print and digital form, Best Lawyers Ninth Edition of Women in the Law features stories of inspiring leadership and timely legal issues.

Lawyer in green dress stands with hands on table and cityscape in background

The Human Cost


by Justin Smulison

2 new EU laws aim to reshape global business by enforcing ethical supply chains, focusing on human rights and sustainability

Worker wearing hat stands in field carrying equipemtn

Beyond the Billables


by Michele M. Jochner

In a recently conducted, comprehensive study, data reveals a plethora of hidden realities that parents working full-time in the legal industry face every day.

Women in business attire pushing stroller takes a phone call