[nalabama]

Originally Posted by GreggT

Are you able to claim a Homestead Exemption? $2,500.00 is extremely high for Alabama!

The homestead exemption typically saves a homeowner only about $39.00 IIRC.

[GreggT]

Originally Posted by nalabama

The homestead exemption typically saves a homeowner only about $39.00 IIRC.

Think is is more than that as on our second home in Florida it was closer to $900.00 a year if we could have claimed it. I can't put my head around $2,500.00 as our 3/2 on 6 acres with an out building, we pay South of $500.00 a year.

[GreggT]

Originally Posted by GreggT

Think is is more than that as on our second home in Florida it was closer to $900.00 a year if we could have claimed it. I can't put my head around $2,500.00 as our 3/2 on 6 acres with an out building, we pay South of $500.00 a year.

To follow up:

https://www.usatoday.com/picture-gal...axes/40974679/

[nalabama]

Originally Posted by GreggT

Think is is more than that as on our second home in Florida it was closer to $900.00 a year if we could have claimed it. I can't put my head around $2,500.00 as our 3/2 on 6 acres with an out building, we pay South of $500.00 a year.

Per the tax collector office of Madison County, Alabama, the Homestead Exemption is exactly $48. Where AnsleyPark lives (Baldwin County), it is $45.

[Preston3124]

Originally Posted by nalabama

Per the tax collector office of Madison County, Alabama, the Homestead Exemption is exactly $48. Where AnsleyPark lives (Baldwin County), it is $45.

Maybe I am confused but my understanding is that the Homestead Exemption cuts your assessed value in half (from 20% of Taxable Value to 10% of Taxable Value) which effectively cuts your property tax in half. For me it results in a savings of $1200 per year.

[soccerphysio]

Originally Posted by Preston3124

Maybe I am confused but my understanding is that the Homestead Exemption cuts your assessed value in half (from 20% of Taxable Value to 10% of Taxable Value) which effectively cuts your property tax in half. For me it results in a savings of $1200 per year.

That was the case for me as well. Taxes were $5000 before homesteading, $2600 after.

[MinivanDriver]

Originally Posted by Preston3124

Maybe I am confused but my understanding is that the Homestead Exemption cuts your assessed value in half (from 20% of Taxable Value to 10% of Taxable Value) which effectively cuts your property tax in half. For me it results in a savings of $1200 per year.

Yep. Same here. I think some people need to double check with their county tax assessor.

[nalabama]

If you own and occupy residential real estate as your primary residence in Alabama, taxable/assessed value is determined by multiplying the appraised value by 10%. That is Alabama law, and has been for many years. You apply the total (state, county, and municipality) millage rate for your tax district to that assessed value to obtain your total property taxes. If you then file a request for a homestead exemption, the state allowance for that exemption is $6,000 of assessed valuation times your millage rate. County homestead exemption allowances in Alabama usually run around $2,000 of assessed valuation times your millage rate. Rental and commercial properties are assessed at higher percentages in Alabama, typically at 20% IIRC. This information can be obtained at your County Tax Assessor/Collector office. The tax assessor and tax collector may be one and the same individual in some Alabama counties. You can only obtain a homestead exemption for your primary residence; you pay full boat on any other residences that you have in Alabama.

[Threestep2]

Originally Posted by nalabama

If you own and occupy residential real estate as your primary residence in Alabama, taxable/assessed value is determined by multiplying the appraised value by 10%. That is Alabama law, and has been for many years. You apply the total (state, county, and municipality) millage rate for your tax district to that assessed value to obtain your total property taxes. If you then file a request for a homestead exemption, the state allowance for that exemption is $6,000 of assessed valuation times your millage rate. County homestead exemption allowances in Alabama usually run around $2,000 of assessed valuation times your millage rate. Rental and commercial properties are assessed at higher percentages in Alabama, typically at 20% IIRC. This information can be obtained at your County Tax Assessor/Collector office. The tax assessor and tax collector may be one and the same individual in some Alabama counties. You can only obtain a homestead exemption for your primary residence; you pay full boat on any other residences that you have in Alabama.

aim partial agriculture

And then you have your age, disability and have not deductions, add a goat or two if you can and claim partial agriculture.

[Bamaman1]

We're certainly not complaining about our standard of living, property taxes and many other areas covered.

But remember that there are three different Alabama's. North Alabama has little in common with Central Alabama and South Alabama is a completely different place that North Alabama people drive thru on the way to their houses on the Gulf Coast.

I'm fortunate to live in North Alabama, and to have a second home on the incredible Tennessee River. Our local public schools are on the level academically with many private schools. We have mountains of immense beauty. And our hospitals and local medical community is as good as there are anywhere. We're 2 hours drive from three large cities too.

The ultra low cost of living has allowed us to retire young and not have to get a second job.