Homestead Protection Not Lost Just Because Judgment Shows Up On Title Search

From time to time people call me and state that a title search discovered a judgment lien on their homestead. They ask how a judgment can encumber their homestead property if homestead is exempt from creditors.

A title search does not answer the question of whether there are enforceable judgment liens on your homestead. The search will tell only what filing appear on the public record. Any civil judgment against you will appear when you do a title search of any property in your name. Whether a recorded judgment acts as a lien on your homestead is a separate legal issue that takes into account the Constitutional homestead exemption.

If a judgment is issued by a court and recorded prior to the time you occupy a home as your permanent and primary residence (homestead) then the judgment will attach to the property. Moving in to the house after the judgement will not protect the home from the judgment. However, if you occupy a house at the time a judgment is recorded the judgment stays on the public record but does not legally impair your title or your equity in the house.

posted by Jonathan Alper, asset protection and bankruptcy lawyer, Orlando, Florida