What is Florida Homestead?
Florida Homestead is real property that is located within a municipality, to the extent of one-half acre of contiguous land, that is designated as the primary residence of a Florida resident. Moreover, if the property is located outside a municipality, it can be to the extent of one hundred sixty acres of contiguous land and improvements thereon.
Wow! That is a mouth full. So, it basically means that if your home meets the definition above, as to whether the property is located within or outside of municipality, it is considered your homestead property. However, case law has added to the above definition that the homeowner must have intended for the property to be his or her permanent resident or of that of their family. Aronson v. Aronson, 81 So.3d 515 (Fla. 3d DCA 2012).
Now, once the property is designated as your Homestead, which is done with your local county’s property appraiser’s office by filing a form, it comes with several protections and exemptions.
What Protections Does Homestead Provide Under Florida Law?
It prevents forced sales from your creditors with the exception of your mortgage lender, local county tax authority, and a mechanic’s lien. ie., A construction lien placed on your home by a contractor hired to work on your home.
What are the Tax Benefits of Florida Homestead?
A homeowner can receive an exemption of up to $50,000.00. The first $25,000.00 exemption applies to the first $50,000.00 of your Florida Homestead property’s assessed value with the next $25,000.00 exemption applying to the assessed value of $50,000.00 to $75,000.00 of your home.
Who Inherits Florida Homestead Property?
Whether there is a Last Will and Testament involved or not, a surviving spouse and minor children will always inherit a Florida Homestead Property. However, if there is no surviving spouse and no minor children, a Florida Homestead Property can be gifted (via a Will) to just about anyone.
Do the Heirs Benefit from the Homestead Protections When They Inherit Florida Homestead Property?
Yes. When the homeowner dies, the protections and exemptions pass on to the heirs of the decedent. However, the heirs must fall within the class of intestate heirs, according to Florida Statute.
Is Florida Homestead Property a Part of the Decedent's Probatable Estate?
No. Florida Homestead Property is not part of the decedent’s probatable estate, although the practice is to have the Probate Court issue an Order determining the property was the Homestead of the decedent at the time of his or her death, in order to have clear title when it’s time to sell the home.
What is Probate?
Probate is the legal process of transferring a decedent’s assets to his or her beneficiaries all the while under the supervision of a judge. Probate is a very complicated legal proceeding that requires the assistance and guidance of an attorney.
A good estate plan can avoid the entire probate process, but you need to have a conversation with an attorney to discuss all of your options. One important thing to know is that a Last Will and Testament alone will not help you avoid probate.
What if I Need More Information About Florida Homestead or Probate?
If you need assistance with a Probate matter due or would like to know more about Florida Homestead, please call our office at (813) 897-0295 anytime (24/7) and schedule your initial consultation today. Thank you.
