Recently, Massachusetts revised its homestead law to increase the amount of protection for homeowners. There is still an automatic protection of $125,000 in Massachusetts without the need for filing a declaration of homestead with the Registry of Deeds. However, under the revised law, homeowners in the Commonwealth who file a declaration of homestead qualify for protection of the value of the home up to $1,000,000 against unsecured creditors. This is an increase from the $500,000 protection under the prior law. This protection applies only to primary residences, where an owner resides or intends to reside, and includes manufactured and mobile homes.
The homestead protection benefits each owner named in the homestead declaration and the family members who occupy the home. This provides protection for new spouses when an unmarried person has declared a homestead and then later marries. If a home is held in trust, the home is still eligible for homestead protection. A trustee can file the declaration on behalf of the beneficiaries of the trust.
Elderly people (defined as aged 62 or over), and disabled persons of any age also qualify for the maximum amount of protection of $1,000,000. If two owners of a home each qualify for the elderly or disabled protection, the amount of protection is aggregated, up to a maximum value of $2,000,000.
A declaration of homestead must be filed with the Registry of Deeds in the county where the residence is located. By filing a declaration, homeowners in Massachusetts can protect their primary residence against seizure, attachment, execution on judgment, levy or sale for the payment of debts.