INCREASED PROTECTIONS FOR MASSACHUSETTS HOMEOWNERS
In August 2024 the Governor approved an increase in the declared homestead exemption.
Massachusetts General Law c. 188 provides protection for homeowners. In general, the law protects homeowners from losing their homes to unsecured creditors.
For example, if you have an unpaid credit card debt, your homestead protection prevents the credit card company from selling your home to recover the amount owed. Likewise, a bankruptcy trustee cannot use your homestead to pay creditors.
The protection was for $500,000.00. With the change in August 2024 the amount increased to $1,000,000.00.
Be careful, without a valid and recorded homestead declaration your protection is only $125,000.00. You can obtain a homestead declaration form from the Massachusetts Sectary of State here.
You can also read the full law here.
There are other limitations so be sure to talk to an attorney about the law and your specific situation.
