How to Legally Change Your Home to a Homestead

Homesteading a property removes part of your property's value from the tax rolls (thereby lowering your taxes) and it can offer certain protections against creditors. Homesteading is not a right under common law, but it is a simple procedure that can be applied to any personal property in 27 states (see the link under References below for a list of states that allow homesteading). If your state allows homesteading of your dwelling doing so can save you money on taxes and may help protect your home from certain types of judgments in the future.

Difficulty: Easy

Instructions

Things You'll Need:

• Homesteading document Filing fee

1. Pick up a homestead filing document for your state. These documents are available at most large stationery stores and office supply stores. Make sure the document covers your state.

2. Fill out the document completely, following all directions. Homestead documents for most states are simple, usually only one page in length.

3. Send the document to your country recorder (or to the address listed on the document itself) along with the filing fee for your state (also listed on the document).

4. Keep any paperwork you receive from your county recorder regarding your homestead in a safe place.

Tips & Warnings

• Only your primary residence can be homesteaded. Some states allow vacant land to be homesteaded if the owner has shown a genuine intent to build a home on the property within a reasonable amount of time.
• A homestead will not protect your property from a default on your mortgage.

References

• How to homestead your primary residence