A homestead or homestead estate generally includes a house, outbuildings, and the adjoining land owned and occupied by a person or family as a primary residence.
Many states—but not all—have laws that protect a person’s homestead from forced sale for the satisfaction (payment) of debts—at least up to a certain amount of the homestead’s value. These laws may be referred to as homestead exemptions or homestead laws and may be located in a state’s constitution or in its statutes.
The homestead exemption exists to provide a secure home for the family against creditors. The exemption is liberally construed to further its purposes. No specific writing is needed to claim a homestead exemption, but instead merely proof of concurrent usage and intent on the part of the owner to claim the land as a homestead.
In some states the constitutional family homestead exemption applies to the entire family, and not to either spouse individually. Therefore, so long as real property is a family homestead due to one spouse's intention and use, that property is protected by the homestead exemption, unless full abandonment has been pleaded and proved. Once a property has been established as a homestead, the property remains exempt unless it ceases to be a homestead due to abandonment, alienation, or death.
Abandonment of a homestead occurs when the homestead claimant ceases to use the property and intends not to use it as a home again. Anyone asserting abandonment of a homestead has the burden of proving it by competent evidence.
In Alaska, the homestead exemption is designed to protect a portion of a person's home and adjoining land from being forcibly sold to satisfy debts, ensuring that individuals have a secure place to live. As of the knowledge cutoff in early 2023, Alaska's homestead exemption allows an individual to exempt up to $72,900 of their home's value (or $145,800 for a couple) from creditors. This exemption applies to the primary residence, including the house, outbuildings, and the land it sits on. To qualify for the exemption, the property must be occupied as the primary residence, and the owner must have the intent to maintain it as a homestead. No formal declaration is required to claim the exemption; rather, evidence of occupancy and intent is sufficient. The exemption is broadly interpreted to fulfill its purpose of providing family security. In Alaska, the homestead exemption is available to every individual who owns a homestead, not just families. If a homestead is abandoned, which means the owner stops using the property as a primary residence and does not intend to return, the exemption can be lost. The burden of proving abandonment lies with the party asserting it.