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homestead (n.)

Old English hamstede "home, town, village," from home (n.) + stead (q.v.). In U.S. usage, "a lot of land adequate for the maintenance of a family" (1690s), defined by the Homestead Act of 1862 as 160 acres. Similar formation in Dutch heemstede, Danish hjemsted.

homestead (v.)

1872, American English, from homestead (n.). Homesteader also is from 1872.

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Definitions of homestead from WordNet
1
homestead (n.)
the home and adjacent grounds occupied by a family;
homestead (n.)
land acquired from the United States public lands by filing a record and living on and cultivating it under the homestead law;
homestead (n.)
dwelling that is usually a farmhouse and adjoining land;
2
homestead (v.)
settle land given by the government and occupy it as a homestead;
From wordnet.princeton.edu