Chapter 8 Homestead

Question 1

There are 4 requirements for homestead status to be met:

Answer 1

1. The real property must be owned by a “natural person.”
2. The person claiming the homestead exemption must be a Florida resident who establishes that he intends to make the property his “permanent residence.”
3. The person claiming the exemption must establish that he is the “owner” of the property
4. The property claimed as the homestead must satisfy the “size and contiguity” requirements of the constitution (½ acre with municipality and 160 acres outside municipality)

Question 2

Homestead

exemption from forced sale

Answer 2

• Shall be exempt from forced sale and no judgment, decree or execution shall be a lien thereon, except for:
  
  • Payment of taxes and assessments;
  • Obligations contracted for the purchase (mortgage);
  • Improvement or repair thereof, or obligations contracted for house, field or other labor performed on the realty (mechanics lien)

Question 3

Homestead

Location

Answer 3

A homestead, if located outside a municipality, to the extent of one hundred sixty acres of contiguous land, shall not be reduced without the owner’s consent.

If located within a municipality, to the extent of one-half acre of contiguous land, shall be limited to residence of the owner or his family

Question 4

Duration of Protection from Creditors

Timing

Funds

Proceeds

Answer 4

• The homestead must be established prior to any judgment recorded against the property
• The funds from the sale cannot be commingled and can only be held for the sole purpose of acquiring another home. Surplus funds receive no protection.
• The proceeds from a voluntary sale of the homestead are protected and considered protected under the homestead status if the owner has a “good faith” intent to “reinvest” the proceeds in a new homestead within a “reasonable time.”
  
  • Note: only the funds used to reinvest are protected, not the surplus that is not reinvested

Question 5

Restraints on Conveyance and Devise of Homestead Property

Answer 5

Conveyance: the spouse cannot mortgage, sell or convey the homestead without the spouse’s consent

Devise if Minor Children or Surviving Spouse: an owner cannot devise the property away from a surviving spouse or minor children unless they consent to the devise

Exemptions shall inure to the surviving spouse or heirs of the owner

The homestead shall not be subject to devise if the owner is survived by spouse or minor child, except the homestead may be devised to the owner’s spouse if there be no minor child