Florida Homestead Exemptions May INVALIDATE Your Will with Regards to the Marital Home: Do You Know How Homestead Property is Passed?

Do you know how Florida’s homestead exemptions and  rights work? You may be surprised butFlorida law limits your right to devise your West Palm Beach home if it is a homestead.How can you tell if it is homestead property? What are the limitations? Check out our crash course on Florida Homestead.

Florida Homestead: the Basics

• Florida homestead varies depending on where you live, if you are in a city it consists of one half acre inside the municipality or if you are out of a municipality it applies to 160 continuous acres.
• Do you know what that means?
• If your property is split by a local dirt road that is probably fine but if its split by a highway you may only be able to protect the part with your home.
• If homestead property is held with a right of survivorship then do not worry about this blog it does not apply to you!
• What about if one spouse owns the house by themselves in their own name?
• Then its time to look out for homestead, even if the house would be considered “non-marital property” in a divorce, it may still be your spouse’s homestead.
• If held without a right of survivorship you may not be able to validly devise your home in a will unless it is in line with the rules which state you shall do one of two things.
• If there are no minor children you can leave it to your wife, but not someone else.
• Assuming you have a minor child or multiple, first you can give your wife a life estate and the remainder to your children shared “per stirpes.”
• If your wife chooses she may elect in the alternative a one half undivided interest with the rest shared between your children per stirpes.
• So what is the big deal with homestead?

Homestead Protections: the Sacred Cow of Florida

• Do you know why you want homestead protections because they can protect you.
• Did you know that homestead prevents a judgment creditor from attaching and foreclosing a lien on your property?
• In fact it protects against all creditors except for the big three.
• Do you know what they are?
• First of all backed ad valorem (property) taxes are subject to attachment and foreclosure, that makes sense right?
• The government always gets paid, and there are two things you cannot avoid: death and taxes, homestead is not a silver bullet after all (but its close!).
• Also included in that is home owner’s association taxes and fees.
• You can also not protect it against a mortgage on the West Palm Beach home.
• Otherwise who would ever give a mortgage?
• Finally mechanic’s liens from the property (i.e. liens charged by workers and artisans) are not subject to homestead protections in West Palm Beach.
• Other than that though you and your wife and your heirs who take the property after your spouse passes will get this awesome shield from creditors.