Property Tax Relief Fund: City and State Specific Programs

If you're a homeowner struggling to pay your property taxes, there's hope. Some cities and states offer Property Tax Relief Funds to help alleviate the burden.

These funds are typically established to support low-income and elderly homeowners who are facing financial difficulties. For example, in California, the Property Tax Postponement Program allows homeowners 62 and older, or those who are severely disabled, to defer up to $1,000 in property taxes.

In New York City, the Senior Citizen Homeowners' Exemption provides a partial exemption from property taxes for eligible seniors. The exemption can amount to a significant reduction in property taxes, with the maximum exemption being $360.

In addition to these city-specific programs, some states offer relief through their Property Tax Relief Funds. In Michigan, the State of Michigan Property Tax Relief Fund provides a credit to eligible homeowners, reducing their property taxes by up to 50%.

Here's an interesting read: Maryland Student Loan Debt Relief Tax Credit

Property tax relief is available to low-income elderly and disabled homeowners in Tennessee, as well as disabled veteran homeowners or their surviving spouses. This state program is funded by appropriations authorized by the General Assembly.

Over 100,000 individuals receive benefits from this program each year, with a total budget of over $41 million. The Tax Relief Program began in 1973, as a result of the 1972 "Question 3" constitutional amendment.

In some cities, property tax relief is provided through local programs, such as the Detroit Tax Relief Fund. This program helps Detroit homeowners who own their home and are struggling with property tax debt.

The St. Louis Real Estate Tax Assistance Fund is another example of a local program that provides property tax relief. This fund helps owner-occupant homeowners who are at risk of tax foreclosure due to unpaid real estate taxes.

For your interest: Technology Tax Relief

In New Jersey, seniors and those receiving Social Security Disability can apply for Property Tax Relief with a single combined application for the Senior Freeze, ANCHOR, and Stay NJ programs. This new process, introduced in 2025, aims to make the filing experience more straightforward and efficient.

To qualify, you'll need property details from your Tax Assessor's office or property tax bill for 2023 and 2024, as well as your gross income reported on your 2023 and 2024 NJ-1040.

The earliest payment for Senior Freeze will be issued on July 15, 2025, while ANCHOR payments will start on September 15 and continue on a rolling basis. Stay NJ payments will be made quarterly beginning in 2026.

Here's a breakdown of the payment schedules for each program:

Keep in mind that eligibility requirements, including income limits, and benefits available for all property tax relief programs are subject to change by the State Budget.

If you're a senior or Social Security Disability recipient in New Jersey, you're eligible for a simplified application process for Property Tax Relief. This new process combines applications for the Senior Freeze, ANCHOR, and Stay NJ programs.

The single combined application is available online and by mail, and it's designed to make the filing experience more straightforward and efficient. You'll need to provide property details from your Tax Assessor's office or property tax bill, as well as your gross income reported on your NJ-1040.

The application process is relatively quick, with most applicants receiving payment within 90 days. Payments for the Senior Freeze program will be issued on a payment schedule, starting as early as July 15, 2025.

Here's a breakdown of the payment schedules for each program:

If you're eligible, the sooner you file, the sooner you'll start receiving benefits. And, if you're under 65 and not collecting Social Security disability benefits, your ANCHOR application may be automatically filed when online filing becomes available in Summer 2025.

If you're a homeowner at least 55 years old or disabled, you're eligible for the Base Year Value Transfer for Homeowners at least Age 55 or Disabled (Proposition 19). This program allows you to transfer the base year value of your original property to your replacement property, which can result in significant property tax savings.

To qualify, you must purchase your replacement property within two years of selling your original property. You can apply for the transfer of base savings three times. The claim must be filed with the County Assessor within three years of purchasing the replacement property.

See what others are reading: Tax Debt Forgiveness after 10 Years

Here are the key requirements for the Base Year Value Transfer:

You'll need to file the Claim for Transfer of Base Year Value to Replacement Primary Residence for Persons at least Age 55 Years (BOE 19-B) with the County Assessor for the replacement residence. If your original residence was in a different county, you'll need to attach a copy of the original property's latest property tax bill and any supplemental tax bill.

Worth a look: Cook County Property Taxes Due

In cities like New York, property tax relief is especially crucial for low-income homeowners.

The New York City Property Tax Relief Fund provides direct assistance to eligible homeowners, covering up to 50% of their annual property taxes.

Homeowners in New York City who earn less than $60,000 per year may be eligible for this relief.

Detroit Tax Relief is available for homeowners who own their home and are struggling with property tax debt.

To qualify, you must live in and own your home in Detroit.

The first step is to apply and be approved for the City of Detroit HOPE property tax exemption for current year property taxes.

Intriguing read: Pay Property Taxes Detroit Mi

In St. Louis, over 50 owner-occupied homes are estimated to be lost to tax foreclosure each year due to unpaid real estate taxes, sometimes as little as $400.

This devastating event can lead to loss of housing stability and erasure of equity for homeowners.

Homeowners at risk of tax foreclosure can receive immediate financial assistance through the St. Louis Real Estate Tax Assistance Fund (RETAF).

RETAF is managed by the St. Louis Tax Relief Coalition, a partnership formed in 2021 by Park Central Development and other local organizations.

This coalition helps fill the city's budget, which funds schools, parks, and other crucial services, by preventing increases in vacant property.

By providing property tax assistance, RETAF benefits not just individual homeowners, but their neighbors, neighborhoods, and the broader community as well.