District of Columbia homestead exemption requirements: the complete guide

Last updated 2026-07-09

What is the DC homestead exemption and how much does it save?

The DC homestead deduction cuts $84,000 off your home's assessed value for tax year 2024. ^[1] That amount comes off the top before the tax rate hits, so your actual dollar savings depends on the rate class. Residential property in DC is taxed at $0.85 per $100 of assessed value, the Class 1 rate. ^[2]

Run the numbers. $84,000 times 0.0085 equals $714 a year. That is a guaranteed cut every year the exemption stays active, with no income test and no age requirement for the basic benefit.

The $84,000 figure has climbed over the years through DC Council legislation. Own your home a long time and never applied? You have been leaving money on the table. The deduction does not apply retroactively. Every year you wait is a year of savings you never get back.

The homestead deduction sits apart from the Senior/Disabled Freeze program, which carries its own income ceiling. The two stack. A qualifying senior gets the $84,000 deduction and a frozen assessment on top. More on that below.

Who qualifies for the DC homestead exemption?

The rules here are refreshingly simple next to most states. Under DC Code § 47-850, you qualify if you meet all three of these ^[3]:

1. You own the property (or hold a life estate, or are a beneficiary of an eligible trust). 2. The property is your principal place of residence. 3. You are domiciled in the District of Columbia.

That is the whole list. No income cap. No minimum age. No length-of-ownership rule. Moved in last month, bought the house, and it is your primary address? You qualify.

Domicile trips people up. DC treats domicile as the place you intend to make your permanent home, more than where you happen to sleep. If you vote in another state, carry another state's driver's license, or file income taxes as a resident somewhere else, the DC Office of Tax and Revenue (OTR) can decide you are not domiciled in DC and deny or revoke the exemption. ^[3]

You can hold only one homestead exemption anywhere in the country at a time. Own a home in Maryland with a homestead credit and a DC condo where you now live full-time? Cancel the Maryland benefit before DC approves yours. OTR cross-checks records, and duplicate exemptions trigger back-tax liability plus interest.

Condos, co-ops, and houses all qualify. Vacant land does not. Own a mixed-use building, and the deduction applies only to the portion you live in.

What is the $84,000 deduction actually worth? (DC tax savings table)

The table below runs the math across a range of assessed values at the current Class 1 residential rate of $0.85 per $100. ^[2] These figures assume the homestead deduction is the only exemption applied.

Assessed value	Value after $84K deduction	Annual tax without exemption	Annual tax with exemption	Annual savings
$300,000	$216,000	$2,550	$1,836	$714
$500,000	$416,000	$4,250	$3,536	$714
$750,000	$666,000	$6,375	$5,661	$714
$1,000,000	$916,000	$8,500	$7,786	$714
$1,200,000	$1,116,000	$10,200	$9,486	$714

The savings never move because the deduction is a flat dollar amount, not a percentage. A $300,000 rowhouse and a $1.2 million Georgetown townhouse both save the same $714 a year from the basic deduction alone.

Qualify for the senior/disabled freeze and the picture shifts hard, because the freeze caps the assessed value itself rather than shaving a fixed amount off it. Combine both benefits and long-time homeowners in fast-appreciating neighborhoods can save thousands a year.

How do you apply for the DC homestead exemption?

You file Form ASD-100, the Homestead Deduction, Senior Citizen, and Disabled Property Owner Application. ^[4] One form covers all three DC residential benefits. You check the boxes for what you are claiming.

You can submit it three ways:

• Online through OTR's MyTax.DC.gov portal.
• By mail to the DC Office of Tax and Revenue, PO Box 556, Washington, DC 20044.
• In person at 1101 4th Street SW, Suite 270W, Washington, DC 20024.

The form asks for the basics: property address, your Social Security number, the date you started living there as your principal residence, and your signature under penalty of perjury. ^[4] No income documentation for the basic deduction.

Once OTR approves it, the deduction lands on your real property tax account and renews every year on its own. You do not re-file. You only contact OTR if something changes, meaning you move out, sell, or pick up a homestead exemption somewhere else.

Bought from a seller who already had the deduction? Do not assume it carried over. It did not. File your own application.

What is the deadline to file for the DC homestead exemption?

The working deadline is April 1 of the tax year you want the benefit to hit the first half-year bill. ^[4] DC bills property taxes in two installments: the first half is due March 31 and the second half is due September 15.

Here is how the timing plays out. File Form ASD-100 before April 1 and the deduction should show on your first-half bill for that year. File after April 1 but before October 1, and OTR applies the deduction to the second-half bill and issues a refund credit for the first-half overpayment. File after October 1 and you generally get the benefit starting the following tax year. ^[1]

No fine hits you for filing late. You simply lose the months of savings while your application sits pending, or while you never applied at all.

New homeowners should file the moment the deed records. OTR's system ties property records to exemption status, and a fresh deed with no application on file means your first tax bill arrives full price.

Does DC offer an additional exemption for seniors or disabled homeowners?

Yes, and it is a big one. The Senior Citizen/Disabled Homeowner Real Property Tax Relief program freezes your property's taxable assessed value at the level it held when you first became eligible, as long as you keep qualifying. ^[5] DC Code § 47-845 governs it.

To qualify for the freeze you must:

• Be 65 or older, or be under 65 and totally blind or disabled.
• Have owned and lived in the property as your principal residence for at least one year before you apply.
• Have combined household federal adjusted gross income of $150,000 or less for the prior tax year. ^[5]

The $150,000 ceiling is the 2024 threshold. DC adjusts this figure from time to time, so check the current Form ASD-100 instructions before you file.

The freeze does not push your assessed value below where it stood when you first qualified. It just stops the value from rising for tax purposes. Your home's market value doubles, your taxable value holds steady. Given how fast DC has appreciated over the past decade, this benefit can be worth far more than the base $84,000 deduction for seniors who have owned their homes for years.

Disabled homeowners under 65 need to document the disability, usually a certification from a licensed physician or an award letter from a federal agency like the Social Security Administration.

What documents do you need to submit with the application?

For the basic homestead deduction, the form is the only document. You sign under penalty of perjury, and OTR checks your information against deed records and DC DMV data. No attachments. ^[4]

For the senior/disabled freeze, OTR verifies your income against DC income tax records. If you did not file a DC income tax return for the prior year (say your income fell below the filing threshold), you may need to hand over a copy of your federal return or a statement of income.

For the disabled component, bring documentation such as:

• A letter from the Social Security Administration confirming disability benefits.
• A certification signed by a licensed physician in the form spelled out in the ASD-100 instructions.

Applying as a trust beneficiary or life estate holder? Bring the trust documents or deed language showing your interest in the property.

OTR can request more documentation at any point. Miss the timeframe they set and you risk denial or revocation. Keep copies of everything you send.

What happens if your eligibility changes after you receive the exemption?

You have to notify OTR within 30 days of any change that affects your eligibility. That is a legal obligation. ^[3] The usual triggers:

• You move out and no longer live in the property as your principal residence.
• You sell it.
• You establish domicile in another jurisdiction.
• You pick up a homestead exemption in another state.

Rent out the property and move into a rental yourself, and you have to cancel the exemption. People miss this one constantly. Landlords who keep collecting the homestead deduction on rentals are pocketing a benefit they do not qualify for, and OTR can assess back taxes, interest, and a 10% penalty on the taxes owed for fraudulent claims. ^[3]

The failure-to-notify penalty has teeth. OTR runs periodic audits matching exemption rolls against rental license data, voter registration changes, and out-of-state driver's license records. Get caught before you self-report and the consequences bite harder than if you had proactively canceled.

Moving temporarily (for medical care, say) and planning to come back? Talk to OTR directly about whether the absence ends your eligibility. Temporary absences do not automatically kill the benefit, but you carry the burden of showing you intend to return.

Can you appeal if DC denies your homestead exemption application?

Yes. If OTR denies your application or revokes an existing exemption, you can appeal to the Real Property Tax Appeals Commission (RPTAC). ^[6] File within 90 days of the date on the denial notice.

The appeal means a written request laying out why you qualify, plus supporting documentation. RPTAC holds hearings and issues written decisions. Lose there and you can push it to DC Superior Court.

Most denials trace to one of three things: the address on the application does not match OTR's deed records, the applicant holds a homestead benefit in another jurisdiction that has not been canceled, or the property type does not qualify (commercial, vacant land, and so on).

Before you file a formal appeal, call OTR's customer service line at (202) 727-4TAX (4829) and ask why the application was denied. A surprising share of denials are administrative errors you can fix with a phone call and a quick document upload, no formal appeal needed.

If your dispute is about a value rather than a denied exemption, that runs on a different track through RPTAC's assessment appeal process. Exemption eligibility and assessed value disputes move separately. Overassessed and denied an exemption on top of it? You may need to file two appeals. The deadline to appeal a DC assessment is generally April 1 of the tax year. For more on building a strong case, the TaxFightBack DIY appeal kit walks you through the evidence and comps process step by step.

How does the DC homestead exemption compare to neighboring states?

DC's flat $84,000 deduction is easy to understand, but Maryland and Virginia go about it differently. That matters if you own property in more than one jurisdiction or you are weighing a move.

Maryland runs a homestead tax credit that caps annual assessment increases at a percentage each county sets, typically 0% to 10% a year. ^[7] It is a cap on growth, not a flat deduction. For a home that has stayed in one family for decades, Maryland's credit can beat DC's fixed amount by a wide margin in a hot market. For a fresh buyer it does almost nothing, since it only limits future growth.

Virginia has no statewide homestead exemption in the same sense. It offers a real estate tax exemption for certain disabled veterans and surviving spouses of military personnel, and localities set their own rates. ^[8] For the average homeowner, Virginia's setup is less generous than DC's.

To compare against states with well-known programs, Florida's homestead exemption gives a $50,000 deduction on assessed value (the first $25,000 applies to all taxes, the second $25,000 to non-school taxes). Texas's homestead exemption gives a $100,000 cut on school district taxes as of 2023, the largest flat deduction of any major jurisdiction. DC lands in the middle of the national range.

What are common mistakes DC homeowners make with the homestead exemption?

The number one mistake is not applying at all. OTR does not add the exemption automatically when you buy. Thousands of DC homeowners overpay every year because they figured it transferred with the deed or that OTR would sort it out.

Second: not checking the annual Notice of Proposed Assessment to confirm the exemption still shows. Pull any bill or log into MyTax.DC.gov and find the line reading "Homestead Deduction: $84,000." Missing? Call OTR that day.

Third: homeowners who turn a primary residence into a rental and move elsewhere forget to cancel. This is not a gray area. You do not live there, you do not qualify, and keeping the benefit is fraud under DC law.

Fourth: some homeowners claim both the DC deduction and a homestead credit in Maryland or Virginia at once, not realizing holding both is banned. OTR and neighboring assessors share information.

Fifth: people who inherit a property assume the exemption on the prior owner's bill carries on. It does not. A change of ownership resets the exemption, and the heir has to file fresh in their own name.

Suspect your assessed value is off on top of the exemption question? That is a separate problem worth fixing. See our guides on the Georgia homestead exemption and the homestead exemption in Ohio for how other states run assessment appeals alongside exemption claims, since the two processes often move in parallel.

How do you verify your DC homestead exemption is currently active?

Log into MyTax.DC.gov with your square and lot number or your property address. Under your real property account you will see your current classification and any exemptions on record. ^[9] If the homestead deduction is active, it shows as a line item cutting the assessed value used for tax.

Your annual real property tax bill also lists your assessed value and any deductions. The bill lands in late January or early February for most homeowners. Look for a field like "Homestead Deduction Applied" or a line showing the deduction amount.

Not sure whether a previous owner's exemption got canceled, or whether your own application went through? Calling OTR directly at (202) 727-4829 beats waiting on written mail. Have your square, suffix, and lot number ready. You can find those on your deed or through DC OTR's online real property assessment search on MyTax.DC.gov. ^[10]

For new homeowners who closed in the past year and are unsure whether to file, the rule is simple. Cannot find a confirmation letter from OTR in your records? Assume the exemption is not active and file Form ASD-100 right away. There is no downside to filing when you already have it. OTR just notes it is already on record.

Frequently asked questions

How much does the DC homestead exemption save per year?

At DC's current residential tax rate of $0.85 per $100 of assessed value, the $84,000 homestead deduction saves exactly $714 per year regardless of your home's total assessed value. The deduction is a flat dollar amount subtracted before the tax rate is applied, so the savings are identical for a $300,000 condo and a $1 million house.

Do I have to reapply for the DC homestead exemption every year?

No. Once OTR approves your Form ASD-100, the exemption stays on your account and renews automatically. You only need to take action if your eligibility changes, such as moving out, selling the property, or acquiring a homestead benefit in another state. Check your annual tax bill or MyTax.DC.gov each year to confirm the deduction is still showing.

Is there an income limit for the basic DC homestead exemption?

No income limit applies to the basic $84,000 homestead deduction. Any DC homeowner who owns and occupies their property as a principal residence qualifies regardless of income. The $150,000 income ceiling only applies to the separate Senior Citizen and Disabled Homeowner tax freeze program, which stacks on top of the basic deduction.

Can I get the DC homestead exemption on a condo or co-op?

Yes. Condominiums and cooperative housing units both qualify for the homestead deduction as long as you own your unit and occupy it as your primary residence. The rules for cooperatives can be slightly more involved because the tax may be assessed at the building level, but DC Code § 47-850.02 specifically addresses cooperative units and makes them eligible.

What happens to the homestead exemption when I sell my DC home?

The exemption does not transfer to the buyer. It terminates on the date of sale. The buyer must file their own Form ASD-100 after closing. As the seller, you should notify OTR of the ownership change, though the deed recording typically triggers a flag in the OTR system. The buyer's first tax bill will likely arrive without the exemption if they do not act quickly.

Can I have the DC homestead exemption and a homestead benefit in Maryland at the same time?

No. You can only claim one principal residence for homestead purposes, and DC statute requires that you are domiciled in DC. If you hold a homestead credit in Maryland, you must cancel it before DC will approve your application. OTR cross-checks records with neighboring jurisdictions, and holding both is considered a fraudulent claim subject to back taxes and a 10% penalty.

How long does OTR take to process a homestead exemption application?

Processing times vary but typically run four to eight weeks. OTR does not publish a formal service-level agreement for this. Applications filed online through MyTax.DC.gov tend to move faster than paper applications sent by mail. If you filed more than eight weeks ago and have not received confirmation, call OTR at (202) 727-4829 with your square and lot number ready.

What is the DC senior property tax freeze and how does it differ from the homestead exemption?

The homestead exemption deducts $84,000 from your assessed value. The senior freeze, under DC Code § 47-845, locks your taxable assessed value at the level it held when you first qualified, preventing future increases from raising your bill. To qualify you must be 65 or older (or disabled), have owned and lived in the property for at least one year, and have household income of $150,000 or less. Both benefits can be claimed simultaneously.

What if I inherited a DC property that had the homestead exemption?

The exemption does not pass with the inheritance. A change of ownership, including inheritance, resets the exemption status. Once the deed is recorded in your name and you move in as your primary residence, file Form ASD-100 right away. If the property goes into an estate or trust first, eligibility depends on the nature of your interest under DC Code § 47-850.

Can I get the DC homestead exemption on a rental property I own?

No. The homestead deduction requires that the property be your principal place of residence. If you rent the property to tenants and live elsewhere, you do not qualify, period. Continuing to claim the exemption on a rental property is a fraudulent claim under DC law and can trigger back taxes, interest, and a 10% penalty on the taxes owed.

What is the deadline to appeal a DC homestead exemption denial?

You have 90 days from the date of the denial notice to file an appeal with the Real Property Tax Appeals Commission (RPTAC). File a written request explaining why you believe you qualify and attach supporting documentation. Before going through the formal appeal, call OTR at (202) 727-4829, since many denials are administrative errors fixable by phone.

Does the DC homestead exemption reduce my assessed value or my tax bill directly?

It reduces your assessed value by $84,000. The tax rate is then applied to the reduced figure. So the exemption does not appear as a direct credit on your bill; instead, your taxable assessed value is $84,000 lower than your market assessment, and the $714 in savings comes from applying the $0.85 per $100 rate to that reduced base.

Where do I send the completed Form ASD-100?

By mail: DC Office of Tax and Revenue, PO Box 556, Washington, DC 20044. In person: 1101 4th Street SW, Suite 270W, Washington, DC 20024. Online: MyTax.DC.gov. Online submission is the fastest route and gives you a confirmation number you can use if you need to follow up on your application status.

Sources

1. DC Office of Tax and Revenue, Real Property Homestead/Disabled Deduction guidance: $84,000 homestead deduction amount and benefit renewal terms for DC
2. DC Office of Tax and Revenue, Real Property Tax Rates: Class 1 residential property tax rate of $0.85 per $100 of assessed value
3. DC Code § 47-850, Homestead deduction for real property: Eligibility requirements including domicile, principal residence, and penalty provisions for fraudulent claims
4. DC Office of Tax and Revenue, Form ASD-100 Homestead/Senior/Disabled application and instructions: Application form name, filing methods, and April 1 practical deadline for first-half-year benefit
5. DC Code § 47-845, Senior Citizen Real Property Tax Relief: Senior/disabled freeze eligibility: age 65+, one year ownership/occupancy, and combined household income ceiling
6. DC Real Property Tax Appeals Commission: 90-day deadline to file an appeal after denial of homestead exemption application
7. Maryland Department of Assessments and Taxation, Homestead Tax Credit: Maryland homestead credit caps annual assessment increases at a percentage set by each county
8. Virginia Department of Taxation: Virginia lacks a broad statewide homestead exemption comparable to DC or Maryland for average homeowners
9. DC Office of Tax and Revenue, MyTax.DC.gov: Portal for homeowners to verify active exemptions on their real property account
10. DC Office of Tax and Revenue, real property assessment search on MyTax.DC.gov: Online search tool for finding square, suffix, and lot numbers for DC properties
11. DC Code § 47-850.02, Homestead deduction for cooperative housing associations: Cooperative housing units are eligible for the homestead deduction under DC law