My neighbor Mrs. Chen got a letter last month saying her property taxes went up again. She’s 72 and on Social Security. The increase was $180 per month.
She had no idea she qualified for property tax relief that could save her thousands. Turns out she’d been overpaying for five years.
This happens all the time. States offer property tax relief programs for seniors, but they don’t advertise them. You have to know they exist and apply for them.
Here’s what’s available in every state, including major changes coming in 2026.
Why Property Tax Relief Matters More in 2025-2026
Property values went up dramatically across the country. That means property tax bills went up too.
But Social Security cost of living adjustments didn’t keep pace. Seniors are getting squeezed between rising home costs and fixed incomes.
The good news is many states are expanding property tax relief programs in 2026. Some changes are significant.
Three Main Types of Property Tax Relief for Seniors
Before we dive into specific states, understand the three basic types of programs.
Homestead exemptions reduce your home’s taxable value. If your home is assessed at $300,000 and you get a $50,000 exemption, you only pay taxes on $250,000.
Tax freezes lock your property tax at a specific amount. Even if property values rise, your tax bill stays the same.
Tax deferrals let you postpone paying property taxes until you sell your home or pass away. The taxes become a lien on the property that must eventually be repaid, usually with interest.
Illinois: Major Changes Coming in 2026
Illinois just passed legislation that significantly expands relief for Cook County seniors.
The Low-Income Senior Citizens Assessment Freeze is increasing its income cap from $65,000 to $75,000 for tax year 2026. This will show up on bills mailed in 2027.
The cap continues rising. It goes to $77,000 in 2027 and $79,000 in 2028.
There’s a new requirement though. Seniors must have owned and lived in their home for at least three years to qualify.
Cook County Assessor Fritz Kaegi said this expansion “ensures thousands of vulnerable seniors won’t face losing their homes because of unmanageable property-tax increases.”
The freeze works like this. Once you qualify, your property taxes are frozen at that level. Even if your home value increases, your tax bill doesn’t.
Requirements: Age 65 or older, household income under the cap, lived in the home for three years.
New Jersey: StayNJ Program Launches in 2026
New Jersey passed a new program called StayNJ that starts making payments in 2026.
Seniors age 65 and older can get a tax credit covering up to 50% of their property tax bill, with a maximum of $6,500.
The income cap is high. $500,000 per year.
Payments will be issued quarterly starting February 2026. Scheduled for February, May, August, and November.
This is separate from New Jersey’s other programs. Seniors can also get the ANCHOR benefit and Senior Freeze (Property Tax Reimbursement) program.
Applications for 2025 are processed through a combined form called PAS-1. One application covers all three programs.
But there’s uncertainty. The program costs $1.3 billion annually. Payments could be halted if the state fails to meet obligations for school aid, pension payments, or maintains less than a 12% budget surplus.
Critics argue the $500,000 income cap is too high. They say it benefits people who don’t need relief instead of focusing on seniors with greater financial need.
Texas: Proposed Increases to Senior Exemptions
Texas lawmakers proposed increasing the homestead exemption for seniors from $110,000 to $200,000.
Senate Bill 23 and Senate Joint Resolution 85 passed the Texas Senate in April 2025. Status as of November 2025 is pending final approval and voter approval of the constitutional amendment.
If approved, this would be on top of the general $140,000 homestead exemption available to all homeowners.
Current Texas senior benefits include an additional $10,000 exemption for school district taxes for homeowners 65 and older. They also get a property tax ceiling that freezes school district taxes at the amount paid the year they turned 65.
Local taxing units may offer additional exemptions of at least $3,000.
The tax ceiling is powerful. Once you turn 65 and file for the exemption, your school district taxes cannot increase unless you make major home improvements.
You only apply once. The exemption carries forward automatically as long as you remain eligible.
California: Property Tax Postponement Program
California’s Property Tax Postponement Program allows seniors to defer paying current year property taxes.
Requirements for 2025: Age 62 or older (or blind or disabled), at least 40% equity in the home, household income of $55,181 or less, no reverse mortgage.
The state pays your property taxes and places a lien on your home. Interest accrues at 7% per year.
When you sell the home or pass away, the deferred taxes plus interest must be repaid.
Applications are available October 1, 2025 through February 10, 2026. Funding is limited and distributed first-come, first-served.
California also offers a standard homestead exemption of $7,000 for all homeowners. Proposition 19 allows seniors 55 and older to transfer their lower property tax assessment when they move to a new home.
Florida: Multiple Layers of Exemptions
Florida seniors can stack multiple exemptions to save substantially on property taxes.
Standard homestead exemption: $50,000 for all homeowners. Available to anyone who owns and occupies the property as their primary residence.
Additional senior exemption: Another $50,000 for seniors 65 and older with household income below $37,694 (2025 limit, adjusted annually).
That’s $100,000 total in exemptions for qualifying low-income seniors.
County-specific exemptions: Many Florida counties offer additional local exemptions. Amounts vary by county.
For example, Martin County offers an additional $25,000 exemption for seniors 65 and older who meet income limits. The Village of Indiantown offers $50,000.
Requirements typically include: 65 or older on January 1, household income under county limit, property must be primary residence, already receiving standard homestead exemption.
The exemptions are automatically renewed if your income doesn’t change. But you must notify the property appraiser if your income increases and you no longer qualify.
Pennsylvania: Expanded Rebate Program
Pennsylvania significantly expanded its Property Tax/Rent Rebate program in 2024.
Maximum rebate increased from $650 to $1,000. Income limit increased from $35,000 to $45,000 annually.
Eligibility: Age 65 and older, widows and widowers age 50 and older, people with disabilities age 18 and older.
Only half of Social Security income counts toward the income limit. Other income counts at 100%.
The expansion allowed 3,700 more seniors in Northampton County alone to qualify for relief.
Applications for 2024 rebates (based on 2023 property taxes) were due June 30, 2025.
Some Pennsylvania counties also offer Act 77 Senior Tax Relief. Allegheny County offers a flat 30% discount on real estate tax for qualifying seniors with a maximum reduction of $650 per year.
Requirements: Age 60 or older, gross household income of $30,000 or less (only 50% of Social Security counts), owned and occupied property continuously for 10 years.
New York: Local Options Vary Widely
New York allows local governments and school districts to grant property tax reductions for seniors, but it’s optional.
Each municipality sets its own rules. Income limits can range from $3,000 to $50,000 or higher under sliding scale options.
The exemption reduces the taxable assessment by up to 50%.
Requirements: Age 65 or older, meet local income limits, property must be legal residence and occupied by all owners.
Application deadline is typically March 1, but varies by municipality.
New York City has its own Senior Citizen Homeowner’s Exemption (SCHE) with specific requirements for city residents.
The 2023 law made some changes to the senior citizens exemption and the exemption for persons with disabilities. Check with your local assessor for current requirements in your area.
Arizona: Senior Freeze Option
Arizona’s Senior Property Valuation Protection Option lets homeowners over 65 freeze the limited property value of their home for three years.
This doesn’t freeze the tax rate. It prevents assessment increases.
For 2025, the income limit is approximately $46,416 for single owners and $58,020 for two or more owners.
You reapply every three years. The freeze protects against the dramatic assessment hikes hitting Phoenix and Tucson suburbs.
Tennessee: State-Funded Tax Relief
Tennessee provides property tax relief for low-income elderly and disabled homeowners through a state program funded by legislative appropriations.
Over 100,000 individuals receive benefits from this $41 million program annually.
This is not an exemption. You still receive your tax bill and must pay it. The state reimburses you for part or all of paid property taxes.
You receive a property tax relief voucher with your tax bill. Present the voucher to the collecting official before the deadline along with payment of any balance due.
Income of the applicant’s spouse is required to determine eligibility regardless of residency or ownership.
North Carolina: Multiple Programs Available
North Carolina offers three main property tax relief programs for seniors.
Elderly or Disabled Exclusion: Excludes up to $31,000 of assessed value for homeowners 65 or older or totally and permanently disabled. Income limit for 2025 is $37,900.
Circuit Breaker Property Tax Deferment: Limits taxes to a percentage of income. For income not exceeding $37,900, taxes are limited to 4% of income. For income between $37,900 and $56,850, taxes are limited to 5% of income. Taxes over the limit are deferred and remain a lien on the property.
Disabled Veteran Exclusion: Excludes up to $45,000 of appraised value for disabled veterans. No income limitation.
You must file a new application every year for Circuit Breaker. The other programs may not require annual applications depending on your situation.
South Carolina: Proposed Million Dollar Exemption
South Carolina introduced Bill 3424 in the 2025-2026 session proposing to increase the senior homestead exemption from $50,000 to $1,000,000 of fair market value.
The bill would be funded by an additional 0.32% sales and use tax.
Status as of November 2025 is pending in the state legislature. If passed, this would be one of the most generous senior property tax exemptions in the country.
Minnesota: Property Tax Deferral for Seniors
Minnesota allows seniors to defer a portion of property taxes owed.
Requirements: Age 65 or older (if married, one spouse 65+ and other at least 62), household income of $96,000 or less, owned and lived in home for 5 years, home homesteaded for 5 years, no reverse mortgage or liens.
Online applications will be available again in 2026. Applications can also be filed by mail using Form CR-SCD.
The deferred amount becomes a lien that must be repaid when the property is sold.
Washington State: Three Tiers of Exemptions
Washington offers exemptions based on combined disposable income levels.
You may claim an exemption if you were at least 61 years old in the prior year and have household income less than $40,000.
Depending on income level, the exemption can be standard, partial, or full.
A full exemption means you pay no tax on the first $60,000 or 60% of assessed value, whichever is greater.
Colorado: Fifty Percent Exemption
Eligible Colorado seniors can receive a 50% exemption on the first $200,000 of their home’s actual value.
This reduces the taxable value substantially for qualifying seniors.
How to Find and Apply for Programs in Your State
Most programs require you to apply. They don’t happen automatically.
Start with your county tax assessor or property appraiser’s office. They handle most applications.
Gather required documents. Common requirements include proof of age (driver’s license or ID), proof of income (tax returns, Social Security statements), property deed or ownership documents.
Pay attention to deadlines. Many programs have strict application windows. Missing the deadline means waiting another year.
Apply early if funding is limited. Some states process applications first-come, first-served.
Ask about other available programs. You might qualify for multiple forms of relief that stack together.
Common Mistakes to Avoid
Not applying because you think you won’t qualify. Income limits are higher than many people assume. Half of Social Security income often doesn’t count.
Missing renewal deadlines. Some programs require annual reapplication. Mark your calendar.
Assuming you’re grandfathered in. If you move to a new home, you typically must reapply. Your exemption doesn’t automatically transfer.
Not reporting income changes. If your income increases and you no longer qualify, you must notify the assessor. Failing to do so can result in back taxes and penalties.
Applying too late. Many programs have deadlines several months before taxes are due. Don’t wait until your tax bill arrives.
What If Your State Isn’t Listed?
Every state has some form of property tax relief for seniors, even if it’s limited.
Some states offer programs at the county or municipal level rather than statewide.
Contact your local tax assessor, county treasurer, or state department of revenue. Ask specifically about programs for seniors.
Look for programs with names like homestead exemption, senior freeze, property tax deferral, or circuit breaker program.
Frequently Asked Questions
Do I have to reapply every year?
Depends on the program and state. Some exemptions are one-time applications that renew automatically. Others require annual reapplication. Check with your local assessor.
What counts as income for eligibility?
Most programs use adjusted gross income from your federal tax return. Many states exclude 50% of Social Security income from the calculation. Some exclude other retirement income as well.
Can I get property tax relief if I have a reverse mortgage?
Some programs prohibit reverse mortgages. Others allow them. Check specific program requirements in your state.
What happens if I move after getting a tax freeze?
Most freezes and exemptions don’t transfer to a new property. You must reapply at your new location. A few states like California have portability provisions that let you transfer your lower assessment.
Can my property taxes still go up if I have a freeze?
True freezes lock your taxes at a specific amount. But some programs only freeze the assessment value while tax rates can still increase. Read the fine print on what exactly is frozen.
What if my income is just slightly over the limit?
Some states offer sliding scale benefits that provide partial relief for incomes above the main threshold. Others have tiered systems with different benefit levels at different income ranges.
The Bottom Line on Property Tax Relief for Seniors
Property tax relief exists in every state. But you have to know about it and apply for it.
Changes coming in 2026 are generally positive. Illinois is raising income caps significantly. New Jersey is launching a major new program. Texas is considering substantial exemption increases.
But there’s uncertainty too. New Jersey’s StayNJ program has funding concerns. Proposed changes in several states still need final approval.
Don’t assume you don’t qualify. Income limits are often higher than expected. And many programs exclude half of Social Security income from calculations.
Start by contacting your county tax assessor or property appraiser. Ask what programs are available. Get the application forms. Gather your documents.
Mark deadlines on your calendar. Many programs have application windows months before tax bills arrive.
My neighbor Mrs. Chen applied for her exemption after we talked. Turned out she qualified for a $4,200 annual reduction. Plus she got retroactive credits for two previous years.
That’s $12,600 she got back. Just for filing an application she didn’t know existed.
Check what’s available in your state. You might be overpaying too.
