Several states offer various options to reduce the burden of these taxes.
- Some provide property tax exemptions to senior citizens, veterans, and the disabled.
- Several states offer homestead exemptions for at least a portion of a home’s value if the owner resides there—it’s not a rental or investment property.
- Homeowners might also qualify for a state tax credit in some areas based on the amount of their property taxes. You can also claim a tax credit for property taxes on your federal return if you itemize your deductions.
You can often ask for relief if you’re going through a tough financial time. Some taxing authorities will defer your payments for a period.
The worst thing you can do is ignore your tax bill if it’s not included in your monthly mortgage payment, which is often the case. Simply not paying can invite disaster in the way of tax liens and foreclosure.