Did you know you can lower your home’s assessed value by $100,000 using Philadelphia’s Homestead Exemption? A lower assessed value means you pay less in Real Estate Tax. The City also has several other tax relief programs. However, the Homestead Exemption is one of our most important ones. It reduces homeowners’ property tax burdens and helps them avoid foreclosure.
There’s been a steady increase in the exemption amount over the past few years, from $45,000 in 2020 to 80,000 in 2023, and $100,000 in 2024 (which became effective for FY 2025). Here’s a breakdown of the program:
Don’t miss out! – Own your Philly home? Sign up for the City’s Homestead Exemption and your home’s taxable value drops by $100,000! It’s that simple. Homestead exempts the first $100,000 of your home’s assessed value from taxes. The best part? If your home is valued at or below $100,000, you won’t have a property tax bill. Taxes are only due on the value over $100,000 if your home is valued over $100,000.
Homestead is available to ALL Philadelphia homeowners. It doesn’t matter if you’ve lived in your home for years or just bought it. You qualify if you’re an owner-occupant homeowner. You still qualify for this program even if you have a mortgage.
Apply once and it’s done! – All it takes is one application. Once you’re accepted into the program, you’re in forever, unless you sell your house or change the deed, like when refinancing or adding a co-owner. As long as you own and live on the property, you’ll get the discount every year, even if the amount changes.
Big savings – as of 2025, you can save up to $1,399 on property taxes. You can even see a discounted estimate of your bill using the Real Estate Tax Estimator on the Property Search website.
No income limit – whether you make a lot, a little, or somewhere in between, it doesn’t matter. Homestead also has no age requirement.
Nevertheless, you need to make sure your name isn’t on a property that’s already receiving Homestead benefits. If this is your situation, but your new place is now your primary residence, you should file a Homestead change form. Also, you won’t qualify for Homestead if your home is currently receiving a 10-year tax abatement.
Three simple ways to apply: Apply online in minutes! No username and password required. You can also apply by phone, by calling the Homestead Hotline at (215) 686-9200, or by mail, – by filling out this paper application. Send your application to:
City of Philadelphia
Department of Revenue
P.O. Box 52817
Philadelphia, PA 19115
Applications are available in multiple languages.
Spread the word!
Not a homeowner yourself? Help us get the word out by telling a friend or a neighbor! This is a great way to help them take advantage of this City program. Realtors and title companies can also spread the word by telling clients about this property tax discount.
