Can a Creditor Put a Lien on a House Owned by Two Separate People in Florida?
- Two or more people can own a house in Florida under a joint tenancy ownership agreement. If the deed is designated as a joint tenancy, each owner has the right of survivorship. This means that if one owner dies, his interest in the house is passed to the remaining person or people listed as owners of the property. Creditors with a civil money judgment can put a lien on a house owned by two people in a joint tenancy as long as the judgment debtor is alive and maintains an interest in the property. If the house is not exempt from sale in accordance with Florida homestead laws, the creditor can force a sale to satisfy the debt.
- If two or more people own a house under a tenancy in common agreement, the percentage of ownership is designated as part of the agreement. Judgment creditors can put a lien against the specific portion of the house owned by the judgment debtor if the house is not protected by Florida’s homestead statute. Under a tenancy in common ownership agreement, the interest in the house passes to the owner’s estate after death. Judgment creditors can also put a lien on the estate’s portion of the home.
- In Florida, the only type of ownership that protects a home outside the homestead exemption laws from a creditor’s lien is tenancy by the entirety. Florida only allows a married couple to own real property under a tenancy by the entirety agreement. Florida common law states that real property owned under a tenancy by the entirety agreement is protected from attachment and seizure from creditors. If there is no specific ownership designation, Florida laws presume that a husband and wife own property under a tenancy by the entirety agreement. If the two married people separate or one of them dies, the property ownership automatically becomes a joint tenancy ownership.
- The homestead exemption in Florida covers single family homes, condominiums, mobile and manufactured homes. If the home is the primary residence of the debtor, there is no dollar limit on the exemption amount designated under Florida law, but the amount of the property may affect the exemption. Real property in excess of 160 acres located outside of a municipality or in excess of one-half acre within a municipality is subject to a creditor’s lien.