If your Real Estate Tax increases by more than 15% from the previous year, you may be able to pay the excess amount at a later date (defer payment). If eligible, you can defer payment until the property is transferred or sold. The City will charge a minimum annual interest rate of at least 2%, and the deferred amount will also be subject to a lien.
Eligibility guidelines
Eligibility is based on annual household income and size. There are four tiers, or levels, of eligibility. The higher your income, the higher your Real Estate Tax must be for you to be eligible for a deferral. Below are four examples of a four-person household.
Tier 1:
- Annual household income is $80,251 or more.
- Real Estate Tax must be more than 25% of income.
- Example: $90,000 income x 0.25 = $22,500. Real Estate Tax must be more than $20,000 a year to be eligible.
Tier 2:
- Annual household income is $57,351 – $80,250.
- Real Estate Tax must be more than 12% of income.
- Example: $60,000 income x 0.12 = $7,200. Real Estate Tax must be more than $7,200 a year to be eligible.
Tier 3:
- Annual household income is $34,401 – 57,350.
- Real Estate Tax must be more than 8% of income.
- Example: $50,000 income x 0.08 = $4,000. Real Estate Tax must be more than $4,000 a year to be eligible.
Tier 4:
- Annual household income is $34,400 or less.
- Real Estate Tax must be more than 5% of income.
- Example: $20,000 income x 0.05 = $1,000. Real Estate Tax must be more than $1,000 a year to be eligible.
| Annual income | ||||
|---|---|---|---|---|
| Household size | Tier 1 | Tier 2 | Tier 3 | Tier 4 |
| 1 | $58,501 and up | $41,801 – $58,500 | $25,101 – $41,800 | $25,100 or less |
| 2 | $66,851 and up | $47,801 – $66,850 | $28,651 – $47,800 | $28,650 or less |
| 3 | $75,201 and up | $53,751 – $75,200 | $32,251 – $53,750 | $32,250 or less |
| 4 | $83,551 and up | $59,701 – $83,550 | $35,801 – $59,700 | $35,800 or less |
| 5 | $90,251 and up | $64,501– $90,250 | $38,701 – $64,500 | $38,700 or less |
| 6 | $96,951 and up | $69,301 – $96,950 | $43,151 – $69,300 | $43,150 or less |
| 7 | $103,651 and up | $74,051 – $103,650 | $48,651 – $74,050 | $48,650 or less |
| 8 | $110,301 and up | $78,851 – $110,300 | $54,151 – $78,850 | $54,150 or less |
| Real Estate Tax liability must be | More than 25% of annual household income | More than 12% of annual household income | More than 8% of annual household income | More than 5% of annual household income |
Additional requirements
- Applicants must use the property as their primary residence.
- All Real Estate Taxes on the property must be up-to-date or under a payment agreement.