B.__Notwithstanding the limitation in section 825, each individual who qualifies for an elderly or disabled person's homestead estate may obtain a homestead estate and an exemption of up to $200,000.

C.__An elderly or disabled person's homestead estate terminates:

(1)__On the sale or transfer of the real property or buildings during the estate holder's lifetime;

(2)__On the sale or transfer of the estate holder's interest in the real property or buildings during the estate holder's lifetime; and

(3)__On the death of the estate holder.

§823.__Exception

A homestead estate does not provide exemption from:

1.__Unpaid taxes.__Unpaid taxes;

2.__Debts contracted before acquisition.__Debts contracted before the homestead estate was acquired;

3.__Debts contracted for purchase of homestead.__Debts contracted for the purchase of the real property or buildings;

4.__Support of spouse or minor children.__A court order to pay for the support of a spouse or a minor child; or

5.__Certain rent.__Rent for real property on which buildings in the homestead estate stand.

§824.__Acquiring homestead estate

1.__Real property.__A homestead estate in real property may be acquired:

A.__Through a designation contained in the deed by which the property is acquired; or

B.__Through a written declaration that is signed by the estate holder and recorded in the registry of deeds for the county in which the property is located.

2.__Buildings.__A homestead estate in buildings, including a manufactured home, may be acquired through a written declaration that is signed by the estate holder and filed at the city or town clerk's office in the city or town in which the building is located.

3.__Elderly or disabled persons.__In order to acquire a homestead estate under subsection 1 or 2, an elderly or disabled person acquiring a homestead estate must also file or record the documentation required in section 822, subsection 2.

4.__Previous estates.__The acquisition of a new homestead estate by a person discharges all previous homestead estates of that person.

§825.__Limitations

Only one person may acquire a homestead estate in a particular home for the benefit of that person's family.__A homestead estate may be acquired on only one principal residence for the benefit of a family.__A family includes a sole owner, a parent with one or more children, a husband and wife and a husband and wife with one or more children.

§826.__Use by spouse or minor child

If a court has determined that a spouse of a holder of a homestead estate is living apart from the holder of a homestead estate for a justifiable cause or if a court has awarded the custody of a minor child of a holder of a homestead estate to a person other than the holder of a homestead estate, the court may grant to the spouse or minor child or both the right to use the homestead estate until further order of the court.__If the court order is recorded in the registry of deeds for the county in which the property is located, or filed at the city or town clerk's office in the city or town in which the building is located, the holder of the homestead estate may not dispose of the homestead estate until the court revokes its judgment.

§827.__Continuance after death

If the holder of a homestead estate dies, the homestead estate continues to exist for the benefit of the holder's surviving spouse and minor children, as long as one of them or a purchaser under section 828 occupies the premises.__The homestead estate exists until the youngest surviving unmarried child attains 18 years of age and the surviving spouse remarries or dies.

§828.__Sale of right

1.__Right to sell.__When the holder of a homestead estate dies, the homestead estate may be sold according to this subsection.

A.__The surviving spouse and the guardian of the minor children, if the guardian has obtained permission from a court, may join in the sale of the homestead estate.

B.__If there is no surviving spouse entitled to rights in the homestead estate, the guardian may sell the homestead estate after obtaining permission from a court.

C.__The surviving spouse may sell the homestead estate if there are no minor children.

2.__Purchaser's rights.__The purchaser is entitled to possess the premises for as long as the surviving spouse or one of the children could have pursuant to section 827 if there had been no sale.

3.__Proceeds.__A court may apportion the proceeds of the sale among the parties.

§829.__Termination

A homestead estate may be terminated during the life of the holder:

1.__Deed.__Through a deed that conveys the property, is signed by the holder of the estate and does not specifically reserve the homestead estate;

2.__Written release recorded in registry.__Through a written release of the homestead estate that is signed by the holder of the estate and recorded in the registry of deeds for the county in which the property is located; or

3.__Written release filed.__Through a written release of the homestead estate that is signed by the holder of the estate and filed at the city or town clerk's office in the city or town in which the building is located.

§830.__Continuing rights

A homestead estate continues to exist, even if the law under which it was acquired is repealed.

SUMMARY

This bill creates the homestead estate, which protects a home, including real property and buildings, from attachments and seizures of up to $100,000, or up to $200,000 if the estate holder is an elderly or disabled person. The protection does not apply for the following debts: nonpayment of taxes, debts incurred before the homestead estate was acquired, mortgages, rent and court orders for spousal or child support.