For Colorado seniors living on fixed incomes, rising property taxes can be a growing concern—especially as home values increase year after year. Fortunately, the state offers meaningful relief through the Senior Property Tax Exemption, a program that eases the burden of property taxes for qualifying homeowners age 65 and over.
Whether you’re aging in place or exploring a reverse mortgage, this exemption can make a significant difference in your long-term retirement planning.
What Is the Senior Property Tax Exemption?
The Senior Property Tax Exemption is a benefit offered by the State of Colorado to reduce the amount of property tax paid by eligible seniors. The program exempts 50% of the first $200,000 of a home’s assessed value from taxation. That can translate to several hundred dollars in annual savings, depending on your county’s mill levy.
Once approved, the exemption automatically renews each year unless your residency or ownership changes.
Who Qualifies?
To be eligible for the exemption in 2026, you must meet all of the following requirements:
-
Age: You must be at least 65 years old as of January 1, 2026.
-
Ownership: You must have owned the home for at least 10 consecutive years prior to January 1 of the year you apply.
-
Occupancy: The property must be your primary residence.
In some cases, surviving spouses of previously qualified seniors may also continue to receive the exemption.
This benefit is available for single-family homes, townhomes, and condominiums, as long as they are owner-occupied and meet the program criteria.
How Does This Impact Reverse Mortgage Borrowers?
If you have a reverse mortgage, you still own your home and are responsible for property taxes and homeowners insurance, just like any other homeowner. That means you are fully eligible to apply for and benefit from the Senior Property Tax Exemption.
In fact, for seniors using a reverse mortgage to supplement retirement income, reducing annual property tax expenses can further strengthen your ability to age in place comfortably and sustainably.
How to Apply
Applications are processed by your local county assessor’s office. While deadlines vary slightly by county, most require applications to be submitted by July 15, 2026 for the upcoming tax year.
You can download the form from your county assessor’s website or request a paper copy by mail. You’ll be asked to verify your age, ownership, and occupancy. Once approved, you do not need to reapply annually unless something changes with your ownership status or primary residence.
If you’re unsure whether you qualify, your local assessor’s office can help walk you through the process.
Final Thoughts
The Colorado Senior Property Tax Exemption is one of the most straightforward ways for retirees to reduce costs and extend the life of their retirement budget. If you’re over 65, have lived in your home for a decade, and plan to stay, this benefit could save you hundreds each year without requiring major changes to your lifestyle.
When paired with smart tools like a reverse mortgage, the exemption becomes part of a broader financial strategy designed to help you stay in your home, maintain independence, and enjoy peace of mind.
Jan Jordan and Kelsey Jorck are Reverse Mortgage Specialists serving the Fort Collins, Loveland, Greeley, Longmont, Boulder and other Front Range areas of Colorado. Click here to contact them and learn if reverse mortgage is right for you.