Declaration of Homestead

A homestead declaration is available to individuals who acquire property to be used as a principal residence to the extent of $500,000.00. The homestead estate is subject to several claims, mainly preexisting debts and mortgages, although the bankruptcy court does not recognize this exemption from homestead protection. It does not defeat the claims of creditors but prohibits creditors from selling the homestead estate to satisfy claim.

Only one homestead may be held by any one owner (who may be a sole owner) for the benefit of the owner’s family and is terminated by a deed that does not reserve the homestead or by a separate release of the homestead.

A separate protection against attachment and seizure or sale on execution is provided for persons over sixty-two or disabled persons. This is not an estate (as in ordinary homestead) but rather a protection of the property of the claimant to the extent of $500,000.00. It may be claimed by both owners of the property. The Homestead is lost if the property is conveyed or if the homestead is released.

From Arthur L. Eno, Jr. Esq., Massachusetts Real Estate Sourcebook 2005 (MCLE, Inc. 2005).