Saving & Spending Taxes

14 Totally Legal Ways To Lower Your Property Taxes

Learn the 14 legal hacks to trim your property taxes and keep more in your pocket.

happy family outside new house
Updated Sept. 24, 2024
Fact checked

We receive compensation from the products and services mentioned in this story, but the opinions are the author's own. Compensation may impact where offers appear. We have not included all available products or offers. Learn more about how we make money and our editorial policies.

Buying a home is widely considered a better way to get ahead financially than renting. That being said, buying a home comes with a series of financial hurdles. Most people only focus on the upfront costs, but other fees can make homeownership a financial strain.

Even when you pay off your mortgage, you’ll have to pay property taxes, which can be steep. Luckily, there are a few ways to reduce these pricey fees.

If you’re over 50, take advantage of massive discounts and financial resources

Over 50? Join AARP today — because if you’re not a member you could be missing out on huge perks. When you start your membership today, you can get discounts on things like travel, meal deliveries, eyeglasses, prescriptions that aren’t covered by insurance and more.

How to become a member today:

  • Go here, select your free gift, and click “Join Today”
  • Create your account (important!) by answering a few simple questions
  • Start enjoying your discounts and perks!

Important: Start your membership by creating an account here and filling in all of the information (Do not skip this step!) Doing so will allow you to take up 25% off your AARP membership, making it just $12 per year with auto-renewal.

Become an AARP member now

Appeal your appraisal

Liubomir/Adobe young couple going through bills

While it may sound counterintuitive in the long run, appealing your home appraisal for a lower value could help you save on property taxes.

Call your appraiser to see if you can appeal the verdict, but be aware that some states charge a fee for additional appraisals, and there are often deadlines to submit your appeal. 

If you want to win your appeal, you should also provide evidence that your home is worth less.

Hire an independent appraiser

Andrey Popov/Adobe man filling real estate appraisal form

If your local tax assessor isn’t willing to consider lowering your appraisal, consider investing in an independent appraisal.

This comes with some upfront cost, as independent assessors usually charge a few hundred dollars. However, if they assess your home to have a lower market value, you can generally use that verdict to get lower property tax rates.

Forgo curb appeal

NinaMalyna/Adobe woman applying protective varnish on wall

Similarly, boosting your curb appeal could result in higher property taxes upon appraisal.

Dressing up the exterior of your home, whether through replacing the siding, reroofing, landscaping, or other improvements, increases its fair market value and property taxes. Consider holding off on major sprucing until you want to resell your home.

Resolve $10,000 or more of your debt

Credit card debt is suffocating. It constantly weighs on your mind and controls every choice you make. You can end up emotionally and even physically drained from it. And even though you make regular payments, it feels like you can never make any progress because of the interest.

National Debt Relief could help you resolve your credit card debt with an affordable plan that works for you. Just tell them your situation, then find out your debt relief options.1

How to get National Debt Relief to help you resolve your debt: Sign up for a free debt assessment here. (Do not skip this step!) By signing up for a free assessment, National Debt Relief can assist you in settling your debt, but only if you schedule the assessment.

Try it

Claim senior citizen exemptions

Thurstan Hinrichsen/peopleimages.com/Adobe focused senior couple reviewing bills together

Depending on where you live, you may qualify for property tax exemptions. Several factors could qualify you for an exemption, one of the major ones being your age bracket.

Many states and municipalities give senior citizens exemptions on their property taxes, while others base that qualification on the status of their Social Security. Since this varies so widely, make sure you do your research before applying.

Use homestead exemptions

pikselstock/Adobe woman helping grandmother with bills

Another potential route to save on property taxes comes from the homestead exemption. This is especially helpful for those who are going through unforeseen financial hardships.

Who qualifies for this exemption differs by state, but examples include the elderly, people struggling with a disability or illness, someone who recently lost someone in their household, and people with lower incomes. 

However, not all states offer homestead exemptions, including New Jersey and Pennsylvania.

Claim a veterans exemption

Nomad_Soul/Adobe military man on wheelchair using laptop

Many states offer property tax exemptions for veterans, too. Not all states offer this exemption, though. Additionally, the qualifications for the states that do vary.

For example, in some states, you must be partially or totally disabled. In others, you have to have served in particular wars. Others require you to be above a certain age.

Claim a disability exemption

Krakenimages.com/Adobe woman with disability studying from home

Many states offer exemptions for those with disabilities. Again, the qualifications vary based on location, as does the amount or percentage of the exemption itself. You’ll also probably have to undergo additional screening to verify your disability.

That being said, you may be entitled to additional credits, exemptions, and so on. For example, any home upgrade, like ramp installations or lower countertops, may be tax deductible.

Qualify for agriculture and horticulture exemptions

rh2010/Adobe woman holding vegetable basket in garden

A less common but viable tax exemption is available for those involved in horticulture and/or agriculture. This includes activities like farming livestock, growing and harvesting crops, planting trees, etc.

If you have a large plot of land and want to lower the tax rate, investing in some sort of farming or agricultural endeavor could be worth it in the long run.

Conduct your own investigation

fizkes/Adobe senior couple double checking receipts

Even if your appraisal appeal doesn’t go as well as you’d like, you don’t have to necessarily settle for the result.

Snoop around real estate sites and public property records for homes in your immediate vicinity. Look for factors as similar to your home as possible, like square footage, property features, rooms, safety, age, upkeep, and so on.

If your home was appraised for a higher number, call the auditor who appraised your home for a reason.

Earn cash back on everyday purchases with this rare account

Want to earn cash back on your everyday purchases without using a credit card? With the Discover®️ Cashback Debit Checking account (member FDIC), you can earn 1% cash back on up to $3,000 in debit card purchases each month!2

With no credit check to apply and no monthly fees to worry about, you can earn nearly passive income on purchases you’re making anyway — up to an extra $360 a year!

This rare checking account has other great perks too, like access to your paycheck up to 2 days early with Early Pay, no minimum deposit or monthly balance requirements, over 60K fee-free ATMs, and the ability to add cash to your account at Walmart stores nationwide.

Don’t leave money on the table — it only takes minutes to apply and it won’t impact your credit score.

Apply for a Discover Cashback Checking account today

Look into your home’s history

fizkes/Adobe african american woman reviewing documents

Another way you can take the matter into your own hands is by digging into the history of your home and property. This can be especially helpful for older builds or lots.

Request a copy of your home’s property tax cards, either in person or, if possible, online. These will reflect past assessment details. 

Do a deep dive on these cards, scrutinizing them for even the most minor errors regarding square footage, rooms, upgrades, etc. If something is wrong, you may just get your taxes lowered.

Apply for assistance

Dragana Gordic/Adobe african american couple reviewing bills together

Even if you don’t qualify for an exemption, some resources can help alleviate the strain of high property taxes.

AARP, for example, offers property tax aid, which helps streamline the process of finding tax breaks, exemptions, credits, relief, and so on based on your location and other qualifying factors. 

Some programs it assists with include homestead exemptions, property tax credits, and income-based tax refunds.

Welcome in the tax assessor

BillionPhotos.com/Adobe male engineer inspecting home with checklist

Many people may think that letting the tax assessor into your home, especially after a remodel or upgrade, would result in higher property taxes. However, the opposite could be true.

If you don’t let the assessor walk through your home, they may appraise it for a higher value than it’s worth, resulting in higher taxes. This also presents an opportunity to point out smaller quirks and flaws that could help lower the appraised value.

Consider relocating

Andy Dean/Adobe retired couple sitting outside new house

While not ideal, an almost guaranteed way to get lower property taxes is to move somewhere else with lower state property tax rates.

If you live in a state with exceptionally high property taxes, like New Jersey or Illinois, you’ll likely still be paying an exceptional amount in taxes despite your best efforts. 

In states like Hawaii or Alabama, with much lower tax rates, you can get a lot more for your money or save a fair amount on a similar home to your current one.

Avoid major remodels and upgrades

bonniemarie/Adobe man hammering nail on exterior wall

You can avoid wasting money on property taxes by not making major upgrades to your home. Although home upgrades can increase the overall worth of your home, some home improvements can increase your property taxes during appraisal.  

For example, adding a pool, shed, deck, gazebo, or other major addition to your property will likely result in higher taxes. Even interior upgrades, like a kitchen remodel, can increase your taxes significantly.

Bottom line

Antonioguillem/Adobe female accountant doing thumbs up gesture

Property taxes aren’t all bad — when everyone chips in their share, communities have access to a host of valuable resources.

However, for many, they can be unsustainably expensive, and you want to ensure you don't fall short on property taxes. 

Whether you challenge the decision of your tax assessor or apply for exemptions, there are options to keep tax rates low and avoid draining your bank account.

Lucrative, Flat-Rate Cash Rewards

5.0
info

Wells Fargo Active Cash® Card

Current Offer

$200 cash rewards bonus after spending $500 in purchases in the first 3 months

Annual Fee

$0

Rewards Rate

Earn unlimited 2% cash rewards on purchases

Benefits and Drawbacks
Card Details