Florida wont allow a creditor to place a judgment lien against your home, but not all creditors know that. Some that do might try anyway. Although theres no law that prevents them from putting a lien against your property, both Article VII, Section 6 and Article X, Section 4(a) of the Florida Constitution let you easily remove it if a creditor is successful.
Qualifying Factor
A catch exists in Floridas laws protecting your home from creditors. You must live in your property and it must be your primary place of residence. A vacation home that you own in Florida doesnt qualify. The address of your home must be your regular mailing address. The property must be clearly distinguishable as your residence from any other real estate you own, either within the state or elsewhere.
Exceptions
Loans specifically secured by your property are exempt from Floridas laws against creditor liens. For example, when you take out a mortgage to purchase a property, that mortgage forms a lien against it. If you default on your payments, you risk foreclosure. The laws also protect construction loans. If you take out a loan to add a second floor to your property, and if the lender places a lien against your home as collateral for the money, Florida does not disallow that. Property taxes are also exempt. By their nature, they form a natural lien against your property, and Florida laws will not allow you to remove it.
Protecting Your Property
You can protect your property by registering it with your county as your homestead. Youll need either your tax bill with your name on it or a copy of your recorded deed. Take it to the property appraisers office in your county and ask for Form DR-501. Complete the form and give it to the clerk, along with proof that your home is your primary residence. Accepted forms of proof include a copy of your auto registration and voter registration card, if they show the address of your property. After you file your application form, the laws protect your home against creditors.
Taking Advantage of the Law
When a creditor files a lien against your property, it does so through the recorder of deeds, not through the appraisers office. The recorder of deeds might accept and file a lien against your property, unaware that its your homestead and that you've protected it. If this happens, you can have it removed. Complete a notice of homestead, available through either Floridas state website or the recorders office. Forward it to the creditor who has successfully placed the lien. The creditor has 45 days to either remove the lien or file a response with the court, objecting to your notice. Your creditor cant challenge your right to have the lien removed, but it can challenge the fact that you really live there and that you use the property as your primary residence. Youll have to appear in court to prove it, but as long as you actually live in the residence, you should be successful at overturning the creditors claim.
Tip
In addition to using your homes address for your voter and automobile registrations, use the address of your home for filing your taxes, banking, employment records and Social Security records. This increases your odds of prevailing over a creditor objection.
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