A declaration of homestead protects a person’s principal residence from creditors. Changes to the Massachusetts homestead law (G.L. c. 188, §§ 1-10) make it easier than ever to declare a homestead and secure this valuable protection in these unpredictable economic times.
The declaration of homestead benefits each owner named on the homestead and each of the owner’s family members who reside in the home or later reside in the home. Neither divorce or remarriage will affect the homestead of the spouse who still resides in the home. The revised homestead law now gives automatic protection of $125,000.00 on a home that does not declare a homestead exemption with the Registry of Deeds.
Recording the Homestead
If you own any interest in property and occupy or intend to occupy the home as a principal residence you may record a homestead exemption at the Registry of Deeds. This declaration of homestead will protect against attachment, seizure, execution on judgment, levy or sale for the payment of debts to the extent of $500,000.00 per residence, per family.
The homestead, however, does not protect against first or second mortgage lenders and/or equity lenders who possess a security interest in a home, federal, state, and local taxes, and certain other liens or encumbrances recorded before the recording of the Declaration of Homestead.
Call Now For A Free Consultation
If you are buying or selling a home, contact Attorney Bob Allison for a free telephone consultation at 978-740-9433.