How do homestead exemptions work?

Homestead exemptions are a way for a homeowner to reduce the amount of property taxes they must pay in Arizona. In order to be eligible for a homestead exemption, the property must be the homeowner’s primary residence. A homestead exemption reduces the taxable value of the property, resulting in a lower tax bill. In Arizona, the amount of the exemption is based on the assessed value of the home. The average exemption for most counties is $2,000. However, some counties may offer more or less than the state average. For example, Maricopa County, AZ offers an additional $2,000 exemption for homes valued at $75,000 or less. To apply for a homestead exemption, the homeowner must submit an application to their county assessor office. The application will require proof of ownership and residency. Once the application is approved, the homeowner will begin to see the reduction in their property tax bill. In Arizona, homestead exemptions are renewed automatically each year as long as the property remains the primary residence of the homeowner. If the property is sold or no longer the primary residence, the exemption will be removed from the tax bill. Homestead exemptions are a great way for homeowners to reduce their property tax bill. It is important to research the county specific policy and apply timely to ensure the reduction in property taxes.

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How do homestead exemptions work?

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