The Law Office of Marc E. Canner has more than four years of experience closing real estate transactions in Massachusetts. From same-day rush refinances to equity lines for home improvement, we have closed hundreds of refinances all across the Commonwealth.
We understand that obtaining insurance information, loan payoffs, tax certificates and other loan documents required by the lender can be tedious and unfamiliar. By completing two or three informational forms and returning them to us, we will take the burden off of the borrower and ensure that all lender requirements are satisfied in order to close at your convenience.
We are more than happy to accommodate our clients and their busy schedules. The Law Office of Marc E. Canner understands that it is difficult to take an hour out of your work schedule to close your refinance, and we will work with you to ensure that the time and location of the closing are to your benefit.
Please contact us with any questions that you may have. Also, please read the following information regarding protecting the equity in your home or condo from creditors.
The Massachusetts Homestead Exemption
Massachusetts homeowners are urged to take advantage of a simple but underutilized law that allows homeowners to protect certain equity in their principal residence from the majority of creditors. Massachusetts General Laws Chapter 188, § 1 allows an owner of real estate, for the benefit of themselves and their immediate family and heirs, to exempt Five Hundred Thousand Dollars ($500,000.00) in home equity from attachment, levy on execution, or sale for payment.
The mechanism is relatively simple. A Declaration of Homestead, prepared for the owner, executed (signed in the presence of a notary public) by them, and recorded at the Registry of Deeds in the County where they reside, provides the protection allowed by statute.
The estate of homestead, or “homestead exemption”, provides protection and security to homeowners, eliminating the threat that the equity in their principal residence could be exposed to satisfy common debts or obligations.
There are limited exceptions to the obligations afforded homestead protection:
- A town, city, the Commonwealth of Massachusetts, federal government, or other taxing entity may attach property or force a sale to collect taxes owed;
- Debts contracted prior to the acquisition (declaration) of the homestead are not exempt. Obligations which arise from any personal obligation, including negligence are included, but for obligations other than contract, it must be reduced to a judgment before the exception is triggered;
- Debts related to the purchase of the home (most commonly, mortgages) are not exempt.
- Orders of the probate court to collect obligations for the support of a spouse or minor children may be enforced over a Declaration of Homestead.
One quirk in the statute is that while it provides protection to an “owner or owners”, and for a single person or a family, “only one owner may acquire an estate of homestead in any such home.” Joint owners, including spouses, should therefore give serious consideration to which individual is more likely to incur liability for a claim that is not covered by insurance.
Finally, special provisions apply to the “elderly” (defined by statute as age sixty-two or older) or disabled, as defined by statute. Unlike the homestead discussed above, all qualifying owners may declare a homestead, allowing for greater protection. These special homestead provisions are governed by Massachusetts General Laws chapter 188, § 1A.
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