Understanding the Homestead Tax Exemption in Pennsylvania: Save on Your Property Taxes
Homeownership comes with many responsibilities, but it also comes with opportunities to save. One valuable tool available to homeowners in Pennsylvania is the Homestead Tax Exemption. This program reduces the taxable portion of your home’s assessed value, lowering your annual property tax bill.
If you own and occupy your home as your primary residence, you might be eligible for this exemption. Here’s what you need to know about the program and how to apply for it in Philadelphia and surrounding counties.
What Is the Homestead Tax Exemption?
The Homestead Tax Exemption is designed to make homeownership more affordable by reducing the taxable value of your home. The amount of savings depends on your county’s specific rules and the assessed value of your property.
For example, in Philadelphia, the exemption for 2024 allows eligible homeowners to exclude $80,000 from their property’s assessed value, translating to significant annual savings.
Who Qualifies?
To qualify for the homestead tax exemption, you must:
- Own your home.
- Use the home as your primary residence (investment or rental properties do not qualify).
Even if your home is held in trust, you may still qualify as long as the trust’s beneficiary occupies the home.
How to Apply
Each county in Pennsylvania has its own application process and deadlines for the Homestead Tax Exemption. The December 1st deadline for Philadelphia is fast approaching. To make it easy, we’ve compiled links to the applications for some of the most popular counties in the Greater Philadelphia region:
Be sure to check the deadline for your county and submit the application as soon as possible to start saving on your property taxes.
Other Types of Property Tax Relief in Pennsylvania
In addition to the Homestead Tax Exemption, Pennsylvania offers several other programs designed to provide property tax relief for eligible residents. These include:
- The Property Tax/Rent Rebate Program, which benefits seniors, widows/widowers, and individuals with disabilities.
- Tax relief for veterans through the Disabled Veterans Real Estate Tax Exemption Program.
- Farmstead Exclusions, which provide tax relief for agricultural properties.
To learn more about these programs, eligibility requirements, and how to apply, visit the Pennsylvania Department of Revenue’s Property Tax Relief page.
Need Help Navigating Homeownership?
Applying for the Homestead Tax Exemption is a great way to save, but it’s just one of the many opportunities available to homeowners in Pennsylvania. If you have questions about this program or need guidance on other aspects of homeownership, feel free to reach out—we are here to help!