DC Tax Abatement: Avoid Property Taxes for 5 Years

DC offers a great program that lets you avoid property taxes for 5 years - the Tax Abatement Program.

If you can meet the DC Tax Abatement Eligibility Criteria, then:

i) You the buyer will be exempt from real property taxes for 5 years beginning the next full tax year after filing.

ii) You the buyer will not have to pay the Recordation Tax (1.1% of the home price)

iii) You the buyer may be eligible to have the Transfer Tax, paid by the seller, credited to you! (1.1% of the home price)


                                                What are the Eligibility Criteria?

1. Property must be owner-occupied
2. Owner must meet the income level requirement
3. Property must be $320,000 in value
4. Homebuyer must be a current DC resident

Important tip: If you are interested in the DC Tax Abatement, initiate the application process as soon as you can, to make sure you qualify prior to closing.  If you go in thinking you can qualify and find out later you don't, your home purchase will unfortunately suddenly be more expensive.  Your real estate agent and title company can help you with the application process.


Click here to learn more!

- Jyothi Ramakrishnan