Philadelphia property tax is charged at a combined rate of 1.3998% of your property’s assessed value, with bills due March 31 each year. The rate splits into 0.6159% for the City and 0.7839% for the School District of Philadelphia, and it has held steady since 2016.1City of Philadelphia. Own a Property in Philly? Heres What to Know Most owner-occupants can cut their taxable value by $100,000 through the Homestead Exemption, and additional programs exist for seniors, longtime owners, and low-income households.
How Your Bill Is Calculated
The math is straightforward. Multiply your assessed value by 0.013998. A home assessed at $200,000 owes $2,799.60 before exemptions. A home assessed at $350,000 owes $4,899.30.
Your assessed value comes from the Office of Property Assessment (OPA), which estimates the market value of every parcel in the city.2City of Philadelphia. Office of Property Assessment Philadelphia uses a 100% assessment ratio, so your bill is based on the full estimated value, not a fraction of it. The OPA updates assessments periodically to reflect the local market, and when it gets the number wrong, the appeal process is your remedy.
The rate itself is set annually by the Mayor and City Council through the budget process. Stable for a decade doesn’t mean permanent.
The Homestead Exemption
If you own and live in your home, apply for the Homestead Exemption. It reduces your taxable assessed value by $100,000.3City of Philadelphia. Homestead Exemption Application On a home assessed at $250,000, you’d pay tax on $150,000 instead, saving roughly $1,400 a year.
The requirements are simple: you own the property, and you live in it as your primary residence.4City of Philadelphia. Get the Homestead Exemption A mortgage doesn’t disqualify you. Neither does owing back taxes. You cannot claim a homestead benefit on another property elsewhere, and properties receiving the 10-year tax abatement can’t stack the Homestead Exemption until that abatement expires.
Once approved, the exemption stays on your property until you sell or move out. You do not have to reapply each year.
Other Relief Programs
Senior Citizen Real Estate Tax Freeze
If you’re at least 65, or live with a spouse who is, you may qualify to freeze your Real Estate Tax bill at its current amount so future assessment increases don’t raise it. Income limits are $33,500 for a single person and $41,500 for a married couple.5City of Philadelphia. Apply for the Senior Citizen Real Estate Tax Freeze Widows and widowers aged 50 or older whose spouse was at least 65 at the time of death also qualify. You’ll need proof of age and income documentation.
Longtime Owner Occupants Program (LOOP)
LOOP is aimed at homeowners in neighborhoods where values have shot up. You may qualify if your assessment rose at least 50% over the prior year or at least 75% over the past five years, and if you’ve lived in your home for at least 10 years.6City of Philadelphia. Apply for the Longtime Owner Occupants Program (LOOP) Income caps vary by household size: $88,550 for a single-person household, $126,450 for a family of four. The program locks in your assessment for as long as you remain eligible.
Homeowners generally have to choose between LOOP and the Homestead Exemption, so run the numbers on both.
Pennsylvania Property Tax/Rent Rebate
Separate from anything the City runs, Pennsylvania issues cash rebates to qualifying seniors (65 and older), widows and widowers (50 and older), and people with disabilities (18 and older) whose household income is $48,110 or less.7Pennsylvania Treasury. Property Tax/Rent Rebate Program Applications go through the Pennsylvania Department of Revenue. City-level relief and this state rebate can often be claimed together.
The 10-Year Tax Abatement
Philadelphia offers a 10-year abatement on the Real Estate Tax attributable to new residential construction or improvements to existing homes.8City of Philadelphia. Get a Property Tax Abatement For new construction, you must apply within 60 days of when the building permit is issued, and the abatement begins the first month after the title date. For rehab projects, you must apply by December 31 of the year the permit is issued, and the abatement starts on January 1 after you certify the work is complete.
Two things to keep in mind. First, a property receiving the abatement cannot use the Homestead Exemption until the abatement period ends. Second, once an abatement is cancelled, it cannot be reinstated on that property.
Paying the Bill
Real Estate Tax is due March 31.9City of Philadelphia. Real Estate Tax You have three ways to pay:
- Online, through the city’s tax payment portal, using your account number or property address.
- By phone, through the automated system, with a credit card or electronic check.
- By mail, with the payment coupon, to Department of Revenue, P.O. Box 8409, Philadelphia, PA 19101-8409.10City of Philadelphia. Check the PO Box – Mailing Tax Payments and Forms to Revenue
Online and phone payments generate a confirmation number. For mail, hold onto your canceled check.
Monthly Installment Plans
If March 31 in full isn’t realistic, low-income homeowners and all senior citizens who own and occupy their home can apply for a monthly installment plan.11City of Philadelphia. Set Up a Real Estate Tax Installment Plan For non-seniors, income limits apply and vary by family size; a single-person household must earn no more than $41,800 per year. Applications are due by March 31. Miss a monthly payment and the account goes into default, with the full balance and accumulated interest due immediately.
What Happens If You Don’t Pay
Falling behind gets expensive quickly. Starting April 1, the city adds charges (called “additions”) at 1.5% per month on the unpaid balance. By December those additions reach 13.5%. On January 1 of the following year, a flat 15% addition folds into the principal and your taxes are registered as delinquent.12City of Philadelphia. Interest, Penalties, and Fees
At that point the city files a lien against the property for the total delinquency.9City of Philadelphia. Real Estate Tax Liens cloud your title, making it difficult to sell or refinance. If the delinquency continues, the property can be sold at a sheriff’s sale, where opening bids for tax-delinquent properties start at $1,600.13Philadelphia Sheriff’s Office. Conditions of Sale for Tax Sales After a sale, the original owner may have up to nine months to redeem the property on non-vacant homes, though the costs by then are steep.
If you can’t pay in full, apply for an installment plan or contact the city before April 1.
Appealing Your Assessment
If you think the OPA has your property valued too high, file an appeal with the Board of Revision of Taxes (BRT).14City of Philadelphia. Appeal a Property Assessment The deadline is the first Monday in October of the year before the tax year you’re challenging. That is not October 1 exactly, so check the calendar.15City of Philadelphia. Board of Revision of Taxes – Property Assessment Appeals
You can file by mail, in person, or by emailing the PDF form to the BRT. The BRT will schedule a hearing and notify you of the date. Bring evidence: a recent independent appraisal, comparable sales from your neighborhood, or documentation of damage or defects that affect value. A successful appeal lowers your assessed value going forward, which reduces every future bill.
Deducting Property Tax on Your Federal Return
If you itemize on your federal return, Real Estate Tax payments are deductible as part of the state and local tax (SALT) deduction. For the 2026 tax year, the SALT deduction is capped at $40,400 for most filers, or $20,200 for married taxpayers filing separately.16Office of the Law Revision Counsel. 26 USC 164 The cap covers property taxes plus state and local income taxes combined.
The deduction applies only if you itemize on Schedule A instead of taking the standard deduction. Miscellaneous charges on your tax bill for specific services are generally not deductible; only the tax portion qualifies.