Florida Homestead Law and Protection Guide

The Florida homestead law protects a resident’s primary home from judgment creditors. In Florida, a judgment creditor cannot force the sale of your home to satisfy a creditor’s money judgment. A recorded judgment does not attach to or become a lien on a debtor’s Florida homestead property.

To qualify, the owner must be a permanent Florida resident, and the property must be their primary residence. The protection covers all types of homes, including single-family homes, condominiums, mobile homes, and manufactured homes.

What Is Homestead Property in Florida?

In Florida, homestead property is a permanent primary residence owned by a natural person. The property must not exceed half an acre in a municipality or 160 acres in unincorporated areas. It must be occupied with the intent to remain permanently and recorded in the owner’s name.

All contiguous property is included in homestead, even if the contiguous property has separate legal descriptions and tax numbers. If the homestead is on a lot that exceeds the ½ acre or the 160-acre size limitations, then the homestead protection will be allocated pro-rata to the total property value.

A Florida homestead is the most protected asset in the country. The purpose of the homestead law in Florida is to prevent residents from losing their homes because of unpaid debts.

How Much Value Is Protected by the Homestead Law?

There is no dollar limit to the amount of equity protected under the Florida homestead exemption.

Constitutional Protection vs. Statutory Law

The Florida homestead law is part of the state constitution, which gives it more durability than statutory protections. Unlike statutes that can be easily changed by the legislature, constitutional protections are harder to amend or repeal because they require voter approval.

Is Funding a Homestead Considered Fraudulent?

Transferring money into a Florida homestead is not considered a fraudulent conveyance, even if done in the face of creditor collection, so long as the funds weren’t obtained through fraud. This makes homestead property a powerful tool for asset protection.

Exceptions to Homestead Protection

Florida homestead law does not apply to debts from property taxes, mortgages, homeowner association dues, or mechanic’s liens. It also does not protect against federal tax liens or pre-existing liens recorded before homestead status. These exceptions allow creditors to force the sale of the homestead despite constitutional protections.

Florida Homestead Requirements

To qualify for homestead protection in Florida, you must satisfy three rules:

1. You must intend for the home to be your primary residence.

The Florida homestead protection only applies when a person intends for the property to be their primary, permanent residence.

There is no time requirement to form this intent. A person could form an intent to maintain the property as their permanent residence immediately upon moving into the property.

A person can only have one permanent homestead. Therefore, a person who still lives primarily in another state or country cannot form the required intent to qualify for Florida homestead protection. A person may maintain a second residence in another state as long as the Florida house is their primary home.

Homestead protection covers more than just traditional single-family homes. The homestead law protects not only real estate, but also condominiums, stationary houseboats, co-ops, and even long-term leases as long as the property constitutes the debtor’s primary residence.

2. You must live in the home.

A person must occupy and reside in the property in order for it to qualify for homestead protection. In other words, the person must move in with their principal belongings.

This does not mean a person cannot temporarily reside elsewhere. If that were the case, a person would never be allowed to stay in a hotel,  attend school, or stay at a second home for a season. But no matter how long the temporary absence from the property, the owner must intend to return to the homestead as their home.

In the case of a pending judgment, the actual occupation of the property with the intent to maintain it as a primary, permanent residence must occur before a judgment is recorded in the county where the property is located. Otherwise, the judgment could become a lien on the property before the property becomes an exempt homestead.

Do not confuse the Constitutional homestead protection with the homestead tax exemption. Tax exemption rules require you to occupy your home on January 1 and file papers with the county tax assessor or property appraiser. These tax exemption requirements are irrelevant to asset protection of the homestead. Florida residents do not have to file any documents to qualify for homestead protection from judgment creditors.

In addition, there are state income tax principles that require some people to live in Florida more than 180 days per year to avoid income taxation in another state. Florida homestead law does not have a minimum amount of time as an annual residency requirement.

3. You must own the home or have a beneficial interest.

A person must hold legal title to the property to qualify for the Florida homestead protection. Title can be held in your personal name or in the name of your revocable living trust.

A property that is owned by an LLC, corporation, irrevocable trust, or other legal entity cannot qualify for the Florida homestead exemption. This is true even if you are the sole owner of the company.

Florida Homestead Tax Exemption

Florida homestead law also provides an exemption towards property tax for all types of residences, including single-family homes, condominiums, and mobile homes. It reduces the assessed value of a home by $50,000 and limits annual increases in property tax assessments.

Unlike the constitutional protection from creditors, the Florida homestead tax exemption requires an initial filing with the county. The property owner must reside in the home as of January 1 of the calendar year to qualify for the exemption.

The Florida homestead tax exemption also caps the increase in the assessed value of the homestead equal to 3% or the annual Consumer Price Index (CPI), whichever is less. This cap is otherwise known as the Save Our Homes benefit.

Qualifying for the Florida Homestead Tax Exemption

To qualify for the Florida homestead tax exemption, you must own and occupy the property as your permanent residence by January 1. You must be a Florida resident and file an application with the county property appraiser by March 1. The property must not be rented or used for commercial purposes.

Declaration of Domicile

Filing a Declaration of Domicile in Florida is not required by law but strengthens proof of permanent residency for the homestead exemption. It declares your intent to make Florida your primary residence and is filed with the county clerk. While optional, it supports eligibility during disputes or audits.

Florida Homestead Act

The Florida Homestead Act refers to Florida’s constitutional response to the expiration of the federal Homestead Act of 1862, which granted any U.S. citizen 160 acres of land if they agreed to live on and improve it. The purpose of the federal Homestead Act was to encourage U.S. citizens to expand out west and other underdeveloped parts of the country.

Although the Homestead Act was passed in 1862, its benefits did not apply to people settling in Florida until 1873. But from that time until the Homestead Act was repealed, U.S. citizens could acquire land in Florida from the government in exchange for living on and improving it.

The current Florida Constitution, ratified in 1968, used this same number of 160 acres as a basis for the Florida constitutional homestead protection against forced sale and levy. In other words, the Florida Constitution ensured that those federal grants of up to 160 acres were protected.

Waiting Period for Florida Homestead Protection

There is no waiting period for the Florida homestead protection to become effective. The protection applies the day of occupancy with the intent to make it the permanent Florida homestead. There are no papers to file, no forms to fill out.

Facts showing intent to occupy a homestead permanently, such as your driver’s license and vehicle registration addresses, are more important than a declaration you sign or file with the court.

Are Proceeds from the Sale of Florida Homestead Protected?

Proceeds from the sale of a residence that qualifies as a Florida homestead may be protected after the sale if the debtor demonstrates an intent to reinvest the proceeds in a replacement homestead.

The debtor must show that they are actively looking for a new home. Also, the debtor must not co-mingle the homestead proceeds with funds from other sources. Many debtors deposit homestead money into a new and separate bank account to keep homestead sale proceeds separate. These accounts are referred to as “homestead accounts.”

There is no express time limit on investing the proceeds into a new Florida homestead. The Florida Supreme Court has only said that “whether funds received from the sale of a homestead are invested in another homestead within a reasonable time must be determined from the facts and circumstances of each case.” Courts have found a timeframe of four months to be reasonable and even one or two years to be reasonable in some cases. However, courts have also found four years and ten years to be too long in other cases.

A debtor should be wary before transferring proceeds from a homestead into other exempt property. Courts in several cases have found that the transfer of proceeds from an exempt homestead into other exempt assets can constitute a fraudulent conveyance. But courts in other cases have suggested that such a transfer is not fraudulent.

Fraudulent Conversions to a Florida Homestead

Homestead Protection from Fraudulent Conversion

Florida’s homestead law gives strong protection against creditors—even when a debtor tries to shield assets after a lawsuit has started. A Florida resident can put unlimited amounts of money into a primary residence, including luxury homes or farmland, and still claim full homestead protection. This remains true even if the transfer of money into the home was intended to keep it away from creditors.

Converting Non-Exempt Assets into a Protected Homestead

The Florida Supreme Court has ruled that someone can protect otherwise non-exempt assets by using them to buy a new home, improve an existing home, or pay down the mortgage. This conversion can happen even after a lawsuit begins. As long as the money is put into the homestead, it is typically protected—regardless of whether the intent was to hinder creditors.

Exception for Fraudulently Obtained Funds

There is a narrow exception. If the money used to buy or improve the homestead was obtained through fraud, deceit, or a breach of fiduciary duty, a creditor may be able to impose an equitable lien. This means the creditor can force the sale of the homestead to recover the fraudulently obtained money. However, the creditor must prove that the exact funds taken through fraud were used on the homestead.

Money Judgments for Fraud Do Not Bypass Homestead Protection

A creditor cannot take a homestead just because they have a judgment for fraud. The homestead remains protected from money judgments—even for civil fraud claims. The only time an exception applies is if the fraudulent funds themselves were directly invested into the property, and the creditor can trace those specific funds into the homestead.

When a Transferee Loses Homestead Protection

A person who receives a fraudulent transfer from a debtor and then uses those funds to buy or improve their own homestead may not get the benefit of Florida’s homestead protection. Courts can deny protection if the original transfer was made to defraud creditors.

Protection of Homestead Under Construction or Under Contract

A property is not exempt under Florida Homestead law just because the property owner intends to occupy the property sometime in the future. Property reserved for a future residence cannot be homestead property until occupied. Future homes under construction are not exempt homestead properties. The homestead law requires that the debtor must reside in the property as a primary residence to have homestead protection.

If a civil judgment is recorded in the county where a person owns either a house that they intend to occupy or a lot upon which they are building a future home, the judgment lien will attach to the property. Subsequent occupancy of the home as a homestead will not erase the prerecorded judgment lien.

Therefore, you should not purchase a homestead in any county where a creditor has previously recorded a judgment without careful planning, as the prior judgment may take precedence over your purchase and occupancy of a homestead in that county.

FAQs About Florida Homestead Law

Below are answers to some frequently asked questions about the Florida homestead exemption.

How do you qualify for homestead exemption in Florida?

Any person can be eligible for the Florida homestead exemption. To qualify, the debtor must be a permanent Florida resident, and the homestead property must be the debtor’s primary place of residence.

A second home or investment property cannot be considered a Florida homestead.

Only debtors who are natural persons qualify for Florida homestead protection, so properties titled in the name of corporations, limited liability companies, irrevocable trusts, or partnerships do not qualify as homestead property.

How do you claim the Florida homestead exemption?

For asset protection purposes, nothing needs to be done to claim the exemption. The exemption applies from the time the owner occupies the home with the intent for the home to be your permanent residence. However, people seeking the homestead tax exemption may have certain filing requirements to claim the tax exemption.

What happens to a Florida homestead after death?

Homestead protection continues after the owner dies. A person’s homestead is not included in probate, and it cannot be liquidated to pay a decedent’s creditors. If the decedent’s heirs or trustees sell the homestead after death, the sale proceeds will pass to the decedent’s probate heirs and trust beneficiaries.

A creditor of the decedent has no additional remedies against the debtor’s homestead after the debtor’s death.

Are mobile homes protected under Florida Homestead Law?

The Florida Constitution’s homestead law does not apply to a mobile or modular home situated on a leased lot. However, Florida Statute 222.05 protects mobile homes from judgment creditors.

The statute provides that mobile homeowners and occupants whose home is on leased land may claim the mobile home as their homestead and exempt it from levy and forced sale.

Can people waive homestead protection?

Florida residents may voluntarily waive homestead protection when they pledge the homestead as security for a mortgage loan. Homestead protection may not be otherwise waived by contract. Waivers of homestead protection in loan documents, other than a mortgage, are unenforceable.

Who can put a lien on your house in Florida?

A creditor with a valid monetary judgment can get a lien on all property you own in the state of Florida. However, your homestead is exempt from forced sale and liens.