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 Indiana, the homestead exemption is designed to protect a portion of a person's home equity from being claimed by most creditors in the event of bankruptcy or other financial distress. As of the knowledge cutoff in 2023, Indiana's homestead exemption allows homeowners to exempt up to $19,300 of their home's value for an individual owner, and up to $38,600 for a married couple filing jointly. This exemption applies to a primary residence, which can include a house, condominium, mobile home, or other dwelling along with the land it sits on. The intent of this law is to ensure that individuals have a secure place to live despite financial setbacks. The exemption is automatic and does not require specific documentation to claim, but the homeowner must be able to demonstrate the intent to use the property as a primary residence. If a homeowner abandons the property, the exemption may no longer apply, and the burden of proof for abandonment lies with the party asserting it. It's important to note that the homestead exemption does not protect against all types of debts, such as certain taxes, mortgages, liens for home improvement, and obligations contracted for the purchase of the home.