The California Constitution provides a $7,000 reduction in the taxable value for a qualifying owner-occupied home. The home must have been the principal place of residence of the owner on the lien date, January 1st.

What are the benefits of homesteading your property?

The homestead exemption provides an exemption from property taxes on a home. The exemption also protects the value of residents’ homes from property taxes, creditors, and circumstances that arise from the death of the homeowner’s spouse. Homestead exemption ensures that a surviving spouse has shelter.

How does homestead exemption work?

Homestead exemptions remove part of your home’s value from taxation, so they lower your taxes. For example, your home is appraised at $100,000, and you qualify for a $25,000 exemption (this is the amount mandated for school districts), you will pay school taxes on the home as if it was worth only $75,000.