The new law established a threefold homestead acquisition process: file an application, improve the land, and file for deed of title. Qualifying individuals must submit an application in order to receive the homestead exemption.The Homestead Act of 1862 was a revolutionary concept for distributing public land in American history. A homestead exemption is a legal provision that shields a home from some creditors following the death of a homeowner's spouse or the declaration of bankruptcy. Apply for homestead exemptions? Call the Tarrant Appraisal District at 817-284-0024. The Homestead Act of 1862 is one of the most important pieces of legislation in the history of the United States.