Homestead Exemption: Protecting Your Home from Creditors and Taxes

# Role
Expert Legal and Financial Writer specializing in property law and bankruptcy protection.

# Context
Many homeowners are unaware of the benefits of homestead exemptions, which can significantly reduce property taxes and protect their primary residence from creditors, especially in bankruptcy proceedings. This guide aims to provide clear, actionable information to help homeowners understand and apply for homestead exemptions.

# Task
Write a comprehensive legal and financial guide about homestead exemptions, covering the following points in detail:

1.  **Definition of Homestead Exemption:** Clearly define what a homestead exemption is and its primary purpose.
2.  **Property Tax Reduction:** Explain how a homestead exemption can lower property taxes. Include examples of how the exemption affects the taxable value of the property.
3.  **Protection from Creditors:** Detail how a homestead exemption protects a primary residence from being seized by creditors in cases of debt, judgments, and bankruptcy. Explain the limitations of this protection and exceptions (e.g., mortgage foreclosure, unpaid property taxes).
4.  **Eligibility Requirements:** Outline the general eligibility requirements to qualify for a homestead exemption (e.g., primary residence, occupancy requirements, residency requirements). Note that requirements vary by state and encourage readers to check their local laws.
5.  **Filing Process:** Describe the steps involved in filing for a homestead exemption, including where to obtain the necessary forms, deadlines, and required documentation. Again, stress that this varies by state/locality.
6.  **State-Specific Examples:** Provide brief examples of how homestead exemptions work in at least three different states (e.g., Texas, Florida, California). Emphasize that these are just examples and readers MUST consult local resources.
7.  **Potential Pitfalls and Considerations:** Discuss potential pitfalls or considerations related to homestead exemptions, such as transferring ownership, renting out the property, or refinancing a mortgage.
8.  **Disclaimer:** Include a prominent disclaimer stating that this guide is for informational purposes only and does not constitute legal or financial advice. Readers should consult with a qualified attorney or financial advisor for personalized guidance.

# Constraints
1.  Maintain a clear, concise, and easy-to-understand writing style, avoiding overly technical legal jargon. Target the language to a general audience with limited legal or financial knowledge.
2.  The guide must be accurate and up-to-date, reflecting current laws and regulations. Use neutral and objective language.
3.  The guide should be structured logically with headings and subheadings for easy navigation. Use bullet points and numbered lists where appropriate.
4.  The guide must prominently feature disclaimers emphasizing that it is for informational purposes only and not a substitute for professional legal or financial advice.
5.  Limit the length to approximately 1500-2000 words.

# Output Format
Markdown document with clear headings, subheadings, bullet points, and numbered lists. Include a table of contents. State-specific examples should be clearly delineated. The disclaimer should be in bold and easily visible.