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 New Hampshire, the homestead exemption is designed to protect a portion of a person's home equity from creditors in the event of bankruptcy or other financial distress. Under New Hampshire state statutes, specifically RSA 480:1, individuals are allowed to declare a homestead exemption of up to $120,000 in their primary residence. This means that up to this amount in home equity is shielded from unsecured creditors. The exemption applies to the house, outbuildings, and adjoining land, provided it is the owner's primary place of residence. The homestead exemption in New Hampshire is automatic and does not require specific documentation to claim; however, proof of occupancy and the intent to use the property as a primary residence is necessary. The exemption is intended to provide a secure home for the family and is liberally construed to achieve this purpose. It applies to the entire family and not to individual spouses. The exemption remains in place unless the property ceases to be a homestead due to abandonment, alienation, or death. The burden of proof for abandonment, which involves the cessation of use and intent not to return, lies with the party asserting it.