In Florida, the issue of protected homestead involves creditors.  If a home is not a constitutionally protected homestead, then creditors can take all or a part of that asset.  Therefore, they have a right to be heard on the petition to determine protected homestead.  That is why the petition exists.  While you could file the petition before the creditor period expires, it could not be decided without giving the creditors an opportunity to be heard.  I am not familiar with Michigan law on this issue.