Legal Question in Credit and Debt Law in Massachusetts

Homestead Act

Hopefully you can answer a question for me. In 1986 I filed a Declaration of Homestead with the Registry of Deeds in Springfield, MA. Several years later, I fell into difficult financial times and became very delinquent on a credit card bill, and a lien was placed on my property. I thought that this could not be done...that a lien could not be placed on ones' property after a Declaration of Homestead had been filed. My debt with the credit card company was in excellent standing at the time I filed for my Homestead. It was only years later that it became a bad debt. Hopefully you can advise me on this matter.

Thanks so much,

--name removed--W.


Asked on 5/25/00, 9:48 pm

1 Answer from Attorneys
Stuart Williams

Re: Homestead Act

I'm not your legal advisor and I don't even claim to know the law fully, but as a general rule the Homestead will not prevent a lien being put on the home. If the value of the home exceeds the homestead allowance (usually $100,000 for one person under age 65), a forclosure COULD take place I THINK. If you move out, you will almost certainly lose that protection, too, though it could be possible for you to walk away with up to $100,000 sale proceeds if you sell it. I think you have to live in it also to maintain the homestead, so it wouldn't do to move out and rent it, I THINK. Lastly there are some other technicalities if you are married and depending upon how you owned the property which could go either way. If your spouse lives in a community law state while you live in Springfield, you are definitely in bad shape no matter which one of you incured the debts.

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Answered on 7/06/00, 5:44 pm


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