Declaration of Homestead: A Simple Way to Protect Your Home; Part II

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Part II: How to take full advantage of the Declaration of Homestead

 

The Filing of a Declaration of Homestead Increases the Amount of Protection Provided to Residences to $500,000 and, in Some Cases $1 Million

The filing of a Declaration of Homestead with the Registry of Deeds for the county in which the property is located is an easy and effective way for homeowners to increase the amount of protection on their homes, or to expand homestead protection to other residences. A Declaration of Homestead generally provides additional protection for homeowners by increasing the amount of protection to $500,000 per residence.[1] Aggregate protection may be increased to $1 million if a Declaration of Homestead is filed on the behalf of individuals over the age of 62 or who are disabled.[2]

5 Reasons Why You Should File a Declaration of Homestead

  1. The filing of a Declaration of Homestead is a quick and easy way to protect your property from creditors. Typically the Declaration can be quickly drafted and filed by an attorney for a nominal fee and provides over 4 times the amount of protection automatically provided by law.[3] We are happy to help take care of it for you.
  2. The protections provided by the filing of a Declaration of Homestead generally extend to spouses and automatically transfer to surviving spouses and children who live in the home upon the passing of the signatory.[4]
  3. Declarations of Homestead do not need to be refiled should you refinance the property.[5]
  4. The protections provided by the filing of a Declaration of Homestead may extend to pre-existing debts, the proceeds of a sale, and insurance coverage. [6]
  5. Declarations of Homestead can protect multi-family homes and properties held in trust.[7]

Please call or email us if you have questions or would like to discuss how to take advantage of this protection.

[1] M.G.L. c. 188, § 1(West).

[2] M.G.L. c. 188, §§ 1-2 (West).

[3] M.G.L. c. 188, § 1(West).

[4] M.G.L. c. 188, § 7 (West).

[5] M.G.L. c. 188, §§ 3(b), 9 (West).

[6] M.G.L. c. 188, § 3(b) (West).

[7] M.G.L. c. 188, § 1 (West); See Boyle v. Weiss, 461 Mass. 519, 525–526 (2012).