Did you purchase a home in 2022? Chances are you were told to do a few things at closing and one of those things was probably: File for Homestead Exemption. But what does that mean and how do you file for homestead exemption. Let’s take a look!
What is Homestead Exemption?
Homestead Exemption is a property tax reduction available to those who own and occupy a property as their primary residence. To apply for a homestead exemption, the home must be your legal residence as of January 1st. Before you file you must have a copy of your recorded deed, have the property address listed on your state ID, and have all vehicles registered at property address. Let’s dig a little deeper:
01. Have a copy of your recorded deed – This will be sent to you in the mail or via email from the closing attorney. You do not need the original deed, just a copy is fine. If you do not have a copy, reach out to the attorney that you closed with and they will provide.
02. Have the property address listed on your state ID – Depending on how many times you’ve replaced your license in that last few years, you may be able to do this online. If this is not allowed, plan a trip to the DDS.
03. Have all vehicles registered at address – This, along with your ID listing the same address, will help prove this home is your primary residence. All vehicles registered to you must be registered at the same address.
How to file for Homestead Exemption
A homestead exemption reduces the taxable value of your home. For example, if your home is appraised at $200,000, then the assessed value is 50 percent of that amount, or $100,000. With a $25,000 homestead exemption, you only pay taxes on $75,000. [Source: decaturga.com] You’ll need to visit your county’s website and fill out the exemption application to take advantage of this. We have linked below 4 metro counties! If you don’t see your county’s name listed, reach out to us here and we will be happy to assist!
Couple quick notes:
01. Deadline date is April 1st, 2023 – Applications are due by April 01 for the current tax year.
02. Your exemption will be automatically renewed each following year as long as you continue to occupy the home under the same ownership.
03. You cannot have the homestead exemption on more than one property.
04. Electronically Recorded Deeds: Some counties in Georgia now accept deed recordings electronically. If your deed is recorded electronically, you will receive a copy of the recorded deed via email instead of the original deed.
County Links
For Cobb County click here!
For Dekalb County click here!
For Fulton County click here!
For Gwinnett County click here!
Other exemptions you may qualify for include: Individuals 65 Years of Age and Older May Claim an exemption from state tax on their home and 10 acres of land surrounding the home, Individuals 65 Years of Age and Older May Claim a $4,000 Exemption, Individuals 62 Years of Age and Older May Claim Additional Exemption for Educational Purposes, Floating Inflation-Proof Exemption for ages 62 and older, Homestead Exemption for Disabled Veteran or Surviving Spouse, Homestead Exemption for Surviving Spouse of U.S. Service Member, and Homestead Exemption for Surviving Spouse of Peace Officer or Firefighter. To learn more about these exemptions click here or talk to your CPA! Want to learn more about listing or buying your next property? Connect with a Sage & Cedar agent here!