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 California, the homestead exemption is a legal provision designed to protect a portion of a homeowner's equity from creditors in the event of bankruptcy or forced sale. As of the knowledge cutoff in 2023, California's homestead exemption amounts vary depending on the homeowner's status. For example, as of January 1, 2021, the exemption amounts are $300,000 to $600,000, depending on the county median home price. These amounts are adjusted for inflation every three years. The exemption applies to the primary residence of the homeowner, which can include a house, outbuildings, and adjoining land. To qualify for the exemption, the property must be the actual residence of the homeowner, and there must be an intent to reside there. No formal declaration is required to establish a homestead; simply living on the property and treating it as a primary residence is sufficient. However, if a homeowner permanently leaves the property with no intention to return, they may be considered to have abandoned their homestead, which can lead to the loss of the exemption. The homestead exemption in California is automatic, but homeowners may also record a homestead declaration with the county recorder to provide public notice of the homestead status.