California Homeowners’ Exemption: Who Qualifies and When to File

By Matthew Martinez, Founder, CEO & Managing Broker, Diamond Real Estate Group. California DRE #01869679.

California’s homeowners’ exemption reduces the taxable value of your principal residence by $7,000. You claim it once with your county assessor on form BOE-266, and it stays in place as long as you own and live in the home. To get the full exemption, file by February 15 for a home you occupied on January 1, or, after a purchase, within 30 days of the date on your Notice of Supplemental Assessment. Late claims can still get 80%.

What the exemption is worth

The exemption takes $7,000 off the assessed value of an owner-occupied dwelling (Revenue and Taxation Code 218; Board of Equalization). Because the reduction is to assessed value, not to your tax bill, the dollar savings is modest. County assessors estimate it at roughly $70 a year in Marin and Placer, about $71 in Napa, and $70 to $80 in Sacramento; your actual figure depends on your tax rate area. It’s still worth filing: it’s free, it’s a one-time claim, and it’s money you’d otherwise leave on the table every year you own the home.

For how your assessed value is set in the first place, see our guide to Prop 13 property tax in California.

Who qualifies

Under Revenue and Taxation Code 218 and the BOE’s guidance:

• You own it. Owners include a buyer under a contract of sale and a shareholder in a housing cooperative whose shares give the right to occupy the unit.
• It’s your principal residence on January 1. The lien date is January 1; the home must be your main residence that day.
• Property types. Single-family homes, condominiums, co-op units and a unit you live in within a multi-unit building can qualify. A two-unit property counts as two single-family dwellings, so an owner living in one unit can claim on that unit.
• Not eligible. Rented, vacant or vacation/second homes, property under construction on the lien date, and property already receiving the veterans’ exemption.

There are limited exceptions. An owner temporarily away because of damage from a calamity, an owner whose home was destroyed in a declared disaster and who intends to rebuild, and an owner in a hospital or care facility who intends to return may still be treated as occupying the home (Revenue and Taxation Code 218).

Rental owners: the homeowners’ exemption doesn’t apply to investment property; see California property tax for investors.

Filing deadlines

If the assessor finds a timely claim missing information or a signature, it can grant one extension of up to six months to fix it (R&T Code 255.1). Sacramento County notes that a mailed claim postmarked the next business day is timely when a deadline falls on a weekend or holiday (Sacramento County Assessor).

How it works when you buy a home

New owners must file their own claim, even if the seller had the exemption. Contra Costa County’s version of the BOE-266 spells this out, and adds that you must occupy the home within 90 days of the change in ownership or completion of construction (Contra Costa County BOE-266).

The timing interacts with your supplemental tax bill. Under R&T Code 75.21:

• Bought June 1 through December 31: one claim covers the single supplemental assessment for that fiscal year.
• Bought January 1 through May 31: one claim covers two supplemental assessments, the current and the next fiscal year.
• Seller already had it for the year: the regular-roll exemption stays on that year’s bill; your claim applies going forward. Marin County notes a buyer after January 1 may still qualify for the current year if the prior owner didn’t receive the exemption and you file within 30 days of your supplemental notice (Marin County Assessor).

Read our supplemental tax bill guide for how that bill is calculated and paid. Practical tip: many buyers file the BOE-266 right after closing, without waiting for the supplemental notice. The full-exemption deadline is then never at risk.

One more point: the assessor needs a Social Security number (or the alternatives the form allows) for each claimant spouse or co-owner-occupant. The BOE runs an exemption match to catch duplicate claims across counties (BOE). How you take title doesn’t usually change eligibility, but trust and entity ownership can raise questions; see how to hold title in California and ask the assessor.

Where to file in the counties we serve

Each county assessor processes its own claims. These pages were checked in November 2026.

For every other county, including Alameda, Santa Clara, San Mateo, Solano, Mendocino, Lake, Yolo, El Dorado, Santa Cruz, Monterey and San Diego, use the BOE’s list of county assessors to reach the right office. Placer County warns that filing is free and that mailers asking for a fee don’t come from the Assessor.

Related exemption: disabled veterans

A veteran rated 100% disabled by the VA or the military (or paid at the 100% rate for unemployability), or an unmarried surviving spouse who qualifies, can claim the disabled veterans’ exemption on form BOE-261-G instead. It’s far larger than the homeowners’ exemption, and the two can’t be combined on the same property except in a limited supplemental-assessment case (BOE, Disabled Veterans’ Exemption).

The amounts are indexed every year. For the January 1, 2027 lien date, the BOE set the basic exemption at $185,889 and the low-income exemption at $278,836, with a household income limit of $83,474 (BOE Letter to Assessors 2026/019). Check the current year’s figure with the BOE or your assessor before relying on it. To get 100% of the exemption, file within 90 days of the qualifying event or by the following January 1, whichever is later. The low-income version requires an annual filing. Veterans buying with a VA loan can read our VA home loans guide.

Questions people ask

How much does the homeowners’ exemption save in California?

It reduces assessed value by $7,000. Assessors in Marin, Placer, Napa and Sacramento estimate the savings at roughly $70 to $80 a year, depending on local tax rates.

Do I have to file the homeowners’ exemption every year?

No. It’s a one-time claim that continues while you own and live in the home. You must tell the assessor when you no longer qualify.

I bought my home in March. When should I file?

Right away. File within 30 days of your Notice of Supplemental Assessment for the full exemption on the supplemental bill; a claim filed for a January–May purchase covers two supplemental assessments.

The seller had the exemption. Does it transfer to me?

No. A new owner must file a new claim. The exemption on the current year’s regular bill may stay in place for that year.

Can I claim it on a rental or second home?

No. Rented, vacant and vacation or secondary homes are excluded. It applies only to your principal residence on January 1.

What if I miss February 15?

File by December 10 to receive 80% of the exemption (the lesser of $5,600 or 80% of full value) for that year.

Can a disabled veteran get both exemptions?

Generally no; only one applies per property, and the disabled veterans’ exemption is larger. A limited exception applies to supplemental assessments.

Sources & notes

1. California State Board of Equalization, Homeowners’ Exemption
2. Revenue and Taxation Code 218, 255, 255.1, 275 and 75.21
3. BOE, Disabled Veterans’ Exemption and Letter to Assessors 2026/019
4. BOE, County assessor contacts
5. County assessors: Marin, Napa, Sonoma, San Francisco, Contra Costa, Sacramento, Placer

Statute text was read on a public mirror of the official code; links go to leginfo.legislature.ca.gov. Napa County’s page lists older (2022) disabled veterans’ figures; the 2027 figures above come from the BOE. Assessor pages for counties not in the table weren’t individually verified for this guide.

General information, not legal, tax or lending advice. Updated November 2026. Primary sources are linked in this guide.

Related: Supplemental tax bills · Prop 19 base-year transfer · Buy with Diamond · Contact us