Michigan homestead exemption
Property tax relief for owner-occupied homes, tax year 2026
Michigan's principal residence exemption removes up to 18 mills of local school operating tax from your home. File Form 2368 with your city or township assessor by June 1 for the summer tax bill or by November 1 for the winter bill.
State law exempts your principal residence from the local school operating tax, up to 18 mills, rather than reducing the home's value. You claim it with a one-time affidavit filed with the assessor of your city or township, and it stays on the property until you stop living there. Michigan has no general senior homestead exemption, but disabled veterans and low-income owners can qualify for other relief.
What changed
Disabled veterans exemption no longer needs yearly renewal
For taxes levied on or after January 1, 2025, a granted disabled veterans exemption stays in effect without reapplying until the veteran rescinds it or the assessor denies it. The State Tax Commission updated its Form 5107 guidance on April 7, 2026.
Effective: tax year 2025 and later
Late principal residence exemption claims go to the assessor
Since July 11, 2022, only the assessor can grant a late claim. The assessor may grant the exemption retroactively for the current and previous three years if you met the requirements by the deadline each year.
Effective: since July 11, 2022
Exemptions at a glance
| Exemption | Amount | Who qualifies |
|---|---|---|
| Principal residence exemption (PRE) | Exempts your home from local school operating tax, up to 18 mills source | Owners who live in the home as their true, fixed and permanent home. |
| Disabled veterans exemption | Full exemption from property taxes on the homestead source | Michigan veterans who are 100 percent permanently and totally disabled from military service, rated individually unemployable, or who received a VA specially adapted housing grant. Unremarried surviving spouses qualify too. |
| Surviving spouse of a disabled veteran | Full exemption from property taxes on the homestead source | Unremarried surviving spouse of a veteran who was eligible for the disabled veterans exemption just before death. |
| Poverty exemption | Full or partial exemption set by your city or township source | Owner-occupants who cannot afford their property taxes because of low income. |
Principal residence exemption (PRE): You must own and occupy the property as your principal residence on the date you sign the affidavit. File one affidavit per parcel, and only the occupying owner signs it.
Disabled veterans exemption: The veteran must own and use the property as a homestead. Apply with Form 5107 with the assessor after January 1 and before December 31 of the year you claim it; for taxes levied on or after January 1, 2025 it continues without reapplying until rescinded or denied.
Surviving spouse of a disabled veteran: The exemption continues while the spouse does not remarry and applies to any homestead the spouse owns and uses, including one bought after the veteran's death.
Poverty exemption: Apply every year to the local board of review with income tax returns. Each city or township sets its own income and asset guidelines, so contact your local assessor.
How to file
- Where: File Form 2368 with the assessor for the city or township where the home is located.
- Deadline: June 1 or November 1. File by June 1 to reduce that year's taxes beginning with the summer bill, or from June 2 through November 1 to reduce them beginning with the winter bill. source
- Form: Form 2368, Principal Residence Exemption Affidavit
- Renewal: The exemption stays on the property while you keep meeting the requirements. When it is no longer your principal residence, you must file Form 2602 within 90 days, with a penalty of $5 a day up to $200 if you do not.
If you just bought
New owners file their own Form 2368 with the city or township assessor. Closing agents or the assessor can provide the form, and filing by June 1 or November 1 applies it to that year's bills. source
Caps and freezes
- Taxable value cap and reset after a sale: Each year your taxable value can rise by no more than 5 percent or inflation, whichever is less, but it resets to the state equalized value the year after the home is sold or transferred. source
By county
Your city or township assessor takes the Form 2368 and sets its own poverty exemption guidelines, and the tax rate you pay depends on your school district and local millages.
Frequently asked questions
What is the homestead exemption in Michigan?
Michigan's principal residence exemption removes up to 18 mills of local school operating tax from your home. File Form 2368 with your city or township assessor by June 1 for the summer tax bill or by November 1 for the winter bill.
When is the deadline to file for a homestead exemption in Michigan?
June 1 or November 1. File by June 1 to reduce that year's taxes beginning with the summer bill, or from June 2 through November 1 to reduce them beginning with the winter bill.
Did the Michigan homestead exemption change?
Disabled veterans exemption no longer needs yearly renewal. For taxes levied on or after January 1, 2025, a granted disabled veterans exemption stays in effect without reapplying until the veteran rescinds it or the assessor denies it. The State Tax Commission updated its Form 5107 guidance on April 7, 2026. Effective: tax year 2025 and later. Late principal residence exemption claims go to the assessor. Since July 11, 2022, only the assessor can grant a late claim. The assessor may grant the exemption retroactively for the current and previous three years if you met the requirements by the deadline each year. Effective: since July 11, 2022.
Sources
Checked November 14, 2026 for tax year 2026. Amounts set by local taxing units can differ; the county pages list them where we have them.
General information, not tax advice. Confirm the amount and deadline with Michigan Department of Treasury or your county office.
Homestead exemptions by state