A homestead or homestead estate generally includes a house, outbuildings, and the adjoining land owned and occupied by a person or family as a primary residence.

Many states—but not all—have laws that protect a person’s homestead from forced sale for the satisfaction (payment) of debts—at least up to a certain amount of the homestead’s value. These laws may be referred to as homestead exemptions or homestead laws and may be located in a state’s constitution or in its statutes.

The homestead exemption exists to provide a secure home for the family against creditors. The exemption is liberally construed to further its purposes. No specific writing is needed to claim a homestead exemption, but instead merely proof of concurrent usage and intent on the part of the owner to claim the land as a homestead.

In some states the constitutional family homestead exemption applies to the entire family, and not to either spouse individually. Therefore, so long as real property is a family homestead due to one spouse's intention and use, that property is protected by the homestead exemption, unless full abandonment has been pleaded and proved. Once a property has been established as a homestead, the property remains exempt unless it ceases to be a homestead due to abandonment, alienation, or death.

Abandonment of a homestead occurs when the homestead claimant ceases to use the property and intends not to use it as a home again. Anyone asserting abandonment of a homestead has the burden of proving it by competent evidence.

In North Carolina, the homestead exemption is a legal provision designed to protect a portion of a person's home and adjoining land from forced sale by creditors, ensuring that individuals have a secure place to live despite financial difficulties. As of the current regulations, North Carolina's homestead exemption allows an individual to exempt up to $35,000 of their home's value ($60,000 for individuals aged 65 or older if the property was previously owned by a deceased spouse). This exemption applies to the dwelling and land used as a residence by the owner. No formal declaration is required to claim the homestead exemption; rather, the owner must demonstrate the intent and actual use of the property as a primary residence. The exemption is available to any North Carolina resident who owns and occupies a dwelling and the land it is on as a primary residence. The homestead exemption in North Carolina applies to individuals and cannot be doubled for married couples. If the property ceases to be used as a primary residence, the homestead status may be lost, and the exemption may no longer apply. The burden of proof for abandonment of the homestead lies with the party asserting it.