Money & Debt · Homestead (creditor protection)
Homestead Exemption from Creditors in California
How much of your home equity is shielded from a judgment creditor in California, what the exemption does not stop, and how to claim it, cited to the statute.
What is protected in California
The equity shielded from creditors, how it applies, and the debts it cannot stop.
| Rule | In California | What it means |
|---|---|---|
| Equity protected | $300,000 to $600,000 | The homestead exemption is the greater of the countywide median sale price of a single-family home in the prior year, up to a cap, or a floor amount. Civil Code §704.730 sets the floor at $300,000 and the cap at $600,000, and both adjust annually for inflation. So the protected equity is between those figures depending on your county, and higher in 2026 than the original numbers. |
| Applies automatically | Yes | The exemption applies automatically to your dwelling in a forced sale; you do not have to file anything. Recording a separate "declared homestead" under §704.910 is optional and adds protection, such as for the proceeds of a voluntary sale. |
| Married or co-owned | See note | California applies one exemption amount per dwelling, so it does not double for a married couple or co-owners the way some states do. |
| Does not stop | Some liens | The exemption shields equity from a judgment creditor forcing a sale. It does not defeat a mortgage or deed of trust you agreed to, a mechanic’s lien for work on the home, or a tax lien. It also does not protect a voluntary sale unless you recorded a declared homestead. |
| Statute | Cal. Civ. Proc. Code §704.730 | The controlling authority. Read the full text through the source link below. |
The $300,000 floor and $600,000 cap adjust every January for the California Consumer Price Index, rounded to the nearest $25. California does not publish an official table of the adjusted figures, so this page shows the statutory floor and cap and notes that the 2026 amounts are higher. Confirm the current figure for your county before relying on it.
What you can do right now
Concrete, neutral steps to protect home equity in California. This is legal information, not legal advice.
- Estimate your home equity
Subtract what you still owe on the mortgage from your home’s value. The homestead exemption protects that equity from a judgment creditor, up to the current limit for your county, so knowing the number tells you how much is shielded.
- Confirm the current limit for your county
The exemption is the greater of your county’s median home price (up to the cap) or the floor, both adjusted for inflation. The floor is $300,000 and the cap $600,000 in the statute, but the 2026 figures are higher. Check the current amount before you rely on it.
- Consider recording a declared homestead
The automatic exemption covers a forced sale. If you want protection for the proceeds of a voluntary sale, you can record a declared homestead under §704.910. A local legal aid office or attorney can explain whether that helps your situation.
- Get California help before a forced sale
If a creditor with a judgment threatens your home, act early. The California Courts self-help center and a legal aid office can explain how the exemption applies and how to claim it in the sale process.
If a creditor is threatening your home, you can check how the exemption applies and how to claim it. This resource explains your rights.
→ California Courts Self-HelpThis is general legal information, not legal advice. Liens, bankruptcy choices, and local rules can change how the exemption applies to your home.
What people get wrong in California
First, a distinction that trips up almost everyone: this is the homestead exemption that protects your home’s equity from creditors, not the separate property-tax break that also uses the word homestead. California’s creditor exemption was rebuilt in 2021 and is now one of the most generous in the country. Under Code of Civil Procedure §704.730, the protected amount is the greater of your county’s median single-family home price, up to a cap, or a floor, and both the floor and cap rise each year with inflation. The statute text sets the floor at $300,000 and the cap at $600,000, so a homeowner in a high-cost county gets close to the cap while one in a low-cost county gets at least the floor. Two points matter. The exemption is automatic in a forced sale, but recording a declared homestead adds protection for a voluntary sale. And it never defeats a mortgage you signed, a tax lien, or a mechanic’s lien for work on the home; it stands between your equity and an ordinary judgment creditor.
Common questions
How much home equity is protected from creditors in California?
Under Civil Code §704.730, the exemption is the greater of your county’s median home price, up to a cap, or a floor. The statute sets the floor at $300,000 and the cap at $600,000, and both adjust every year for inflation, so the 2026 figures are higher. The exact amount depends on your county.
Is the California homestead exemption automatic?
Yes, for a forced sale. The §704.730 exemption applies to your dwelling without any filing. Recording a separate declared homestead under §704.910 is optional; it mainly adds protection for the proceeds of a voluntary sale, which the automatic exemption does not cover.
Does the California homestead exemption stop a foreclosure?
No. The exemption protects equity from a judgment creditor, not from a debt secured by the home. It does not defeat a mortgage or deed of trust you agreed to, a tax lien, or a mechanic’s lien for work on the property. Those can still be foreclosed despite the homestead.
Does the California homestead exemption double for a married couple?
No. California applies a single exemption amount per dwelling regardless of how many owners there are, so it does not double for a married couple or co-owners. Some other states do double; California is not one of them.
What is the difference between the homestead creditor and homestead tax exemption in California?
They are different protections. The creditor exemption on this page shields your home equity from a judgment creditor forcing a sale. The property-tax homestead exemption lowers the taxable value of your home to cut your annual property tax bill. One is asset protection; the other is a tax break.
Not legal advicePlainStatute provides plain-language summaries of public law for general information only. This is not legal advice. Statutes change; always confirm current requirements with the official source linked above before acting.