Do you own a property in the City of Philadelphia and live in it as your primary residence? If so, you are eligible for saving a significant amount of money on your taxes. With tax season quickly approaching, we wanted to educate you about the Philadelphia Homestead Tax Exemption for homeowners. If you own a property in Philadelphia (that is not currently under Tax Abatement) and it is your primary residence, you qualify for this exemption on your real estate tax.
The Homestead Exemption offers Real Estate Tax savings to all Philadelphia homeowners by reducing the taxable portion of their property assessment value by $40,000. The current real estate tax rate in Philadelphia is 1.399%. So, you save about $560 per year (1.399% x $40,000 = $560 savings).
Any primary home in the City of Philadelphia that is not currently under Tax Abatement is eligible for the Homestead Exemption. You must simply own the property and live in it as your primary residence. That’s it! There are no other requirements. Once you apply, it will be in effect until you sell your property or move. One thing to keep in mind is if you have a 10-year residential tax abatement, you can apply once the abatement expires.
If you want to apply for this exemption, you can call the Homestead Hotline at 215-686-9200 and apply in minutes. You can also apply online HERE.