Homestead Exemption in Vermont
State-specific overview · Property & Real Estate
Vermont exempts $125,000 of primary residence equity, one of the higher dollar-amount protections in the nation.
How Vermont treats Homestead Exemption
Vermont protects $125,000 of equity in a primary residence from creditor claims, providing substantial but not unlimited protection. The exemption applies to the dwelling and surrounding land used as the principal residence. Like most states, Vermont's homestead exemption does not shield against mortgages, property taxes, or mechanics' liens for home improvements.
The general definition of Homestead Exemption
A legal protection that shields a primary residence from creditors' claims up to a certain value.
A homestead exemption is a law that protects your home from being seized to pay debts. When you claim a homestead exemption, a portion of your home's value becomes off-limits to creditors, even if you file for bankruptcy or lose a lawsuit. The amount protected varies by state, and you typically must file a declaration to activate the protection.
Read the full Homestead Exemption entry →This page is a plain-English reference and is not legal advice. State laws change frequently. For specific situations consult a licensed attorney in Vermont.