Property Tax Exemptions & Deferrals
If you see the following paragraph on your title report contact your Escrow Officer to discuss the issue:
"Said taxes and assessed values are reduced under a senior citizen's exemption. The assessed values and tax amounts will be increased following the sale by or death of the qualifying taxpayer."
The Senior Citizen’s Disabled Exemption reduces the amount of taxes being assessed to the property as long as the homeowner qualifies under the county guidelines.
Anther tax relief option available to qualifying homeowners are the Senior Citizen’s/Disabled Deferral and Limited Income Deferral. These do not lower the actual taxes but create a lien on the property that includes taxes and interest, and must be paid at closing.
How does this affect you? People are not always aware how this tax exemption will affect their bottom line at closing. The county has specific rules for payment of said taxes if the property becomes disqualified at time of sale or death. It is important to inform your clients that depending on the time of year and if taxes are current (or not) additional taxes could be due. No one likes SURPRISES at the closing table.
If you have questions please feel free to contact our Chicago Title Escrow Professionals or contact King County Department of Assessments at 206-296-3920 or at their website at www.kingcounty.gov/Assessor/TaxpayerAssistance