Moving To Florida
Becoming a Florida Resident
for Homestead Protection
Many people from all
over the country who have current or potential legal problems
are interested in moving to Florida to take advantage of Florida's
homestead protection and other asset protection laws.
It is never too late
to move to Florida to obtain protection from civil liability.
Even after a judgment is entered against you in another state,
one may legally become a Florida resident and protect money
invested in a new Florida homestead property. There are no civil
or criminal penalties for moving to Florida when one is being
sued somewhere else or when one has a civil judgment against
them in another state. A possible complication exist if another
state's court has issued an injunction against transfers of
assets.
In order to protect
money in a Florida homestead property or in other assets protected
by Florida law one must become a Florida resident. Residents
of other states who buy real estate in Florida cannot protect
that real estate under Florida's homestead laws. Moving to Florida
requires severing ties to the state where you moved from. For
example, you should sell your current residence , turn in your
drivers license, and close your bank accounts in your current
state. At the same time, you would purchase or rent a primary
residence in Florida and take other steps to become a Florida
resident. Some people rent first to establish residency why
they search for a homestead to purchase. Requirements for Florida
residency are explained elsewhere on this website.
Protection of Florida
homestead is effective immediately. After purchasing a Florida
homestead and moving one's belongings into the homestead the
homestead is immediately protected from creditors as long as
other facts and circumstances show intent to make the new homestead
a permanent home. There is no waiting period before Florida's
homestead protection takes effect to protect the debtor's assets
against existing creditors. There may be a two-year waiting
period before a debtor can file bankruptcy in Florida and a
longer waiting period before homestead is protected in bankruptcy.
The new bankruptcy law extends the waiting period to 40 months
for homestead equity over $125,000. Florida homestead law is
explained in greater detail elsewhere on this website.
