Arizona Homestead Exemption: Property Tax Relief and Creditor Cap

Arizona has no general homestead property tax exemption for every owner-occupied home. Its personal exemption under A.R.S. 42-11111 covers only widows and widowers, people with a total and permanent disability, and disabled veterans, claimed by affidavit with the county assessor between the first Monday in January and March 1 (A.R.S. 42-11153). Every homeowner does get a 5 percent yearly limit on growth in the taxable value of property (A.R.S. 42-13301), and owners 65 and older can apply for a senior valuation freeze. Arizona's separate creditor homestead, A.R.S. 33-1101, protects up to $400,000 of home equity, indexed for inflation since 2024. For other states, see our guide to homestead exemptions by state.

Information last verified on 2026-10-07. This article has not been reviewed by a licensed lawyer.

Jurisdiction scope: This article covers the Arizona personal property tax exemptions in A.R.S. 42-11111 and the filing rules in 42-11152 and 42-11153, the senior valuation protection option in Ariz. Const. art. IX, sec. 18, the limited property value cap in A.R.S. 42-13301, the homeowner rate reduction in A.R.S. 15-972, the creditor homestead in A.R.S. 33-1101 to 33-1133, and the probate homestead allowance in A.R.S. 14-2402. Indexed dollar figures for tax year 2026 come from the Maricopa County Assessor only; other counties apply the same state law but were not checked. It does not cover business property, nonprofit exemptions or other states.

Does Arizona have a homestead property tax exemption?

Not for ordinary homeowners. Article IX, section 2 of the Arizona Constitution lists the property the legislature may exempt, and the residence-related entries are narrow: "4. The property of a widow or widower who is a resident of this state. 5. The property of a resident of this state who is at least eighteen years of age and who has a medically certified total and permanent disability. 6. The property of an honorably discharged veteran of the uniformed services of the United States who is a resident of this state and who has a service or nonservice connected disability as determined by the United States department of veterans affairs, or its successor agency."

A.R.S. 42-11111 carries out those options. It provides that "the property of widows and widowers, of persons with total and permanent disabilities and of veterans with service or nonservice connected disabilities who are residents of this state is exempt from taxation," subject to its limits. It is the only personal residence exemption statute in the exemptions article of the property tax chapter (Title 42, chapter 11, article 3).

Everyone else relies on relief that is not an exemption: the 5 percent cap on limited property value, the senior valuation freeze for qualifying owners 65 and older, and the homeowner rate reduction. Each is explained below.

Programs at a glance

Widow, widower and disability exemption: how much and who is eligible

This exemption reduces your assessed limited property value, which the Maricopa County Assessor describes as "the taxable portion of a property's value." For tax year 2026, Maricopa states: "Widowed/Totally Disabled: An exemption of up to $4,873 may be applied to reduce the Assessed Limited Property Value (LPV)."

That $4,873 is an indexed figure. The statute itself prints a base exemption of $4,188, which the Arizona Department of Revenue raises each year; A.R.S. 42-11111 directs that "on or before December 31 of each year, the department shall increase the following amounts." The tax year 2026 figure on this page comes from Maricopa County, because the Department of Revenue's pages could not be opened during our research.

Assessment limit. No exemption is allowed if the total assessment of your property exceeds a cap. The statutory base cap is $28,459, indexed (by a house price index beginning in tax year 2026). This page does not state the indexed 2026 cap because our research did not find it in an official source; ask your county assessor.

Income limit. Maricopa County's tax year 2026 rule: "For households with no children under 18 residing in the home, total income must not exceed $39,865. For households with medically or physically disabled children, or children under age 18, who resided in the home during the previous calendar year, total income must not exceed $47,826." Maricopa counts income from all sources for the claimant, spouse and resident children in the prior year, and excludes Social Security, military pensions and veterans disability payments. The statute's base figures are $34,901 and $41,870, indexed annually.

Disability. The disability must be total and permanent, which generally means being unable to engage in substantial gainful activity for at least 12 months or being expected to die within 12 months. A licensed health professional or a VA disability award letter can certify it. The Legislature's summary of Laws 2026, chapter 82 (HB 2120) says the act "adds, to the definition of competent medical authority, the SSA, as evidenced by a written determination letter."

Unused amount. If the exemption is larger than your home's assessed value, the leftover can reduce other taxes: under A.R.S. 42-11111(M), unused exemption "may be applied for the tax year against the value of personal property subject to special property taxes," such as an unsecured mobile home or vehicle registration.

Disabled veteran exemptions

Arizona's veteran exemption depends on the VA rating.

100 percent service-connected. The Legislature's summary of Laws 2026, HB 2792 describes it as an emergency measure effective February 12, 2026, that "exempts the primary residence, rather than the property, of a veteran with a service-connected disability whose U.S. Department of Veterans Affairs (VA) disability rating is 100 percent." It applies to tax years beginning January 1, 2026, and a home owned jointly with a spouse is treated as the veteran's.

From tax year 2027. Laws 2026, chapter 140, approved June 13, 2026, rewrote A.R.S. 42-11111 for "tax years beginning from and after December 31, 2026." The amended text reads: "The primary residence of a veteran with a service-connected disability whose disability rating by the United States department of veterans affairs is one hundred percent or whose disability status is total disability based on individual unemployability is fully exempt from taxation." The same act lets a surviving spouse who does not remarry keep a full or percentage-based exemption on the primary residence.

Lower ratings. Under A.R.S. 42-11111(D), the property of a veteran with a nonservice-connected disability rated up to 100 percent, or a service-connected disability rated below 100 percent, "is exempt in the amount of $4,188." The exemption is that indexed amount multiplied by the VA disability percentage. Maricopa notes that the combined rating on the VA letter controls, not the compensation rate.

Watch out: Maricopa County's tax year 2026 page states: "Income qualifications apply to all applicants, including those seeking the 100% Service-Connected Disabled Veteran exemption." That matches the statute for 2026, which applied the income limit to every exemption in A.R.S. 42-11111. For tax years beginning in 2027, Laws 2026, chapter 140 limits the statutory income test to the widow, widower and disability exemption (A.R.S. 42-11111(J)), so the statute no longer applies that income limit to the veteran exemptions. County forms may lag the change; confirm with your assessor when you apply.

How and when to apply

Where. You apply with your county assessor. A.R.S. 42-11111(K) says "a person shall establish eligibility for exemption under this section by filing an affidavit with the county assessor under section 42-11152 when initially claiming the exemption." The affidavit is signed under penalty of perjury. Maricopa County takes its Personal Exemption application online, by mail or by email, with proof of Arizona residency, income documents and disability or VA certification. Other counties use their own forms; our research did not find a statewide form number.

When. The statutory window is narrow. Under A.R.S. 42-11153, "a failure by a taxpayer who is entitled to an exemption to make an initial affidavit as required by section 42-11152 or furnish evidence required by this article between the first Monday in January and March 1 of the year constitutes a waiver of the exemption." A widow, widower or disabled person can petition the county board of supervisors to redeem a waived exemption, but taxes already due are not refunded.

Maricopa County's own 2026 schedule listed the application as due February 28, or by September 1 with an approved Exemption Deadline Waiver. Check your county's dates.

Every year after. You do not refile a full application every year under the statute, but you must check your eligibility. For the widow, widower and disability exemption, A.R.S. 42-11111 says: "Each year thereafter, the person who claims the exemption prescribed in subsection E of this section or the person's representative shall annually calculate income from the preceding year to ensure that the person still qualifies for the exemption." Your county's practice may still include a renewal notice.

Moving. Under the tax year 2027 text of A.R.S. 42-11111(L), a person who moves can keep a personal exemption on a new primary residence by filing an exemption transfer form with the assessor within 60 days after the new home becomes the primary residence.

Senior valuation protection (the senior freeze)

Arizona's senior freeze locks the value used for tax, not the tax itself. Under Ariz. Const. art. IX, sec. 18, "the value of the primary residence shall remain fixed at the valuation determined pursuant to subsection (3) that is in effect during the year the property valuation protection option is filed and as long as the owner remains eligible." Maricopa puts it plainly: "This program does not freeze property taxes; it freezes only the taxable portion of the property's value."

The freeze covers the primary residence, "including not more than ten acres of undeveloped appurtenant land." To be eligible, at least one owner must be 65 or older and have lived in the home for two years, and income from all sources (including Social Security and veterans disability) must stay under 400 percent of the federal SSI rate for one owner or 500 percent for two or more, averaged over three years.

For 2026 applications, Maricopa County lists the limits as "income from all sources for all owners on title does not exceed $47,712 for one owner OR does not exceed $59,640 for two or more owners, averaged over the past 3 years."

You apply with the county assessor; the constitution says "the resident shall make application and furnish documentation required by the assessor on or before September 1." The assessor "shall require a qualifying resident to reapply for the property valuation protection option every three years."

The freeze does not move with you. "If title to the property is conveyed to any person who does not qualify for the property valuation protection option, the property valuation protection option terminates, and the property shall revert to its current full cash value."

Missing a three-year reapplication can also end the freeze. The Maricopa County Assessor says that under a 2025 law, SB 1224, "nonrenewal or removal" from the program results in a recalculation of the home's limited property value under A.R.S. 42-13302, at a level "comparable to that of other properties of the same or a similar use or classification." That can raise your taxable value.

Limits on tax growth for every homeowner

The 5 percent value cap applies to all property, and the homeowner rate reduction applies to an owner-occupied primary residence, whether or not the owner claims an exemption.

The 5 percent value cap. Under A.R.S. 42-13301, "the limited property value of property for property taxation purposes is the limited property value of the property in the preceding valuation year plus five per cent of that value," never above full cash value. Residential taxes are also capped at 1 percent of limited value, except for bonds, special districts and voter-approved overrides. This is not tied to homestead status and is not an exemption.

The homeowner rate reduction. Under A.R.S. 15-972, the county board of supervisors reduces the primary school district tax rate on residential property, and the state pays the difference to the school districts. The statute caps the benefit: "The reduction in property taxes on a parcel of property resulting from the reduction in the property tax rate pursuant to this subsection shall not exceed $600, except as provided in subsection I of this section," which applies the cap to each owner-occupied unit on a cooperative apartment parcel. No application form was found; the county computes it. The reduction applies to owner-occupied homes that are the owner's primary residence and classified as class three property (A.R.S. 15-972); a rental or second home does not get it. If your notice of value does not show your home as an owner-occupied primary residence, contact your county assessor.

Losing an exemption and false claims

A false statement in the exemption affidavit is perjury. You must also tell the assessor in writing about any disqualifying event, such as death, remarriage, income over the limit or a sale of the home: "The person or the person's representative shall notify the county assessor in writing of any disqualifying event."

Failing to notify does not stop the tax. Under A.R.S. 42-11111, "regardless of whether the person or the person's representative notifies the county assessor as required by this subsection, the property is subject to tax as provided by law from the date of the disqualifying event, including interest, penalties and proceedings for tax delinquencies."

The creditor homestead: a different law

Arizona's creditor homestead in A.R.S. 33-1101 has nothing to do with property tax. It protects a set amount of home equity from judgment creditors.

How much. A person, or a married couple together, "may hold as a homestead exempt from attachment, execution and forced sale, not exceeding $400,000 in value," one qualifying home. That figure has been "adjusted annually beginning on January 1, 2024 and thereafter on January 1 of each successive year by the increase in the cost of living." Our research did not find the current adjusted amount in an official source, so treat $400,000 as the statutory base, not today's exact cap. Cash from a sale of the home stays protected for up to 18 months; cash taken out in a refinance does not.

What it covers. There is no acreage limit. The homestead can be "the person's interest in real property in one compact body on which exists a dwelling house in which the person resides," a condominium or cooperative unit, or a mobile home, recreational vehicle, houseboat or similar shelter with the land under it.

No filing needed. Under A.R.S. 33-1102, "a person who is entitled to a homestead exemption as prescribed by section 33-1101 holds that exemption by operation of law and no written claim or recording is required." If you own more than one property, a creditor can demand by certified mail that you designate one; you then have 30 days to record a homestead declaration or answer by certified letter.

Debts it does not stop. Under A.R.S. 33-1103, the homestead is not protected "in connection with: 1. A consensual lien, including a mortgage or deed of trust, or contract of conveyance." Other exceptions include mechanic's and materialman's liens, liens for child support or spousal maintenance arrears, and recorded judgments or other nonconsensual liens to the extent your equity exceeds the homestead amount.

In bankruptcy. Arizona has opted out of the federal exemptions: "residents of this state are not entitled to the federal exemptions provided in 11 U.S.C. 522 (d)" (A.R.S. 33-1133). Arizona debtors use the state homestead. For how it applies in a case, see our Arizona bankruptcy guide.

The probate homestead allowance

When a homeowner dies, A.R.S. 14-2402 provides that "a decedent's surviving spouse is entitled to a homestead allowance of $18,000." If there is no surviving spouse, the allowance goes to minor and dependent children, and it takes priority over creditor claims except administration expenses. See our Arizona probate guide for how it fits into an estate.

Anything on the November 2026 ballot?

The Arizona Legislature lists eleven measures for the November 3, 2026 ballot (Propositions 141 through 145, 212 and 316 through 320). Judging by their titles, none concerns property tax, homestead or residence exemptions. Our research read the titles only, not the measure texts.

Related

• Homestead exemptions by state
• Arizona bankruptcy exemptions and process
• Arizona probate
• Arizona property records

Disclaimer: This article provides general legal information about Arizona law, including A.R.S. 42-11111, 42-11153, 42-13301, 15-972, 33-1101 to 33-1133, 14-2402 and Ariz. Const. art. IX, secs. 2 and 18, as verified on 2026-10-07. Tax year 2026 dollar figures are from the Maricopa County Assessor. It is not tax or legal advice. For your specific situation, contact your county assessor, the Arizona Department of Revenue, or a lawyer licensed in Arizona.

Last updated: 2026-10-07.

Frequently Asked Questions

Does Arizona have a homestead property tax exemption?

Not for every homeowner. Arizona's personal exemption under A.R.S. 42-11111 covers widows and widowers, people with a total and permanent disability, and disabled veterans; other owners rely on the 5 percent limited value cap (A.R.S. 42-13301) and, at 65 and older, the senior valuation freeze.

How much is the widow or disability property tax exemption in Arizona?

For tax year 2026, the Maricopa County Assessor applies up to $4,873 off the assessed limited property value, with income limits of $39,865 or $47,826. The statute prints a base of $4,188 that the Department of Revenue indexes each year, so check your county's figure.

When is the deadline to file for a property tax exemption in Arizona?

A.R.S. 42-11153 sets a window between the first Monday in January and March 1; missing it waives the exemption for that year. Maricopa County listed February 28, 2026, or September 1 with an approved Exemption Deadline Waiver.

Are 100 percent disabled veterans exempt from property tax in Arizona?

Yes, for the primary residence, from tax year 2026 under Laws 2026, HB 2792. From tax year 2027, veterans rated total disability based on individual unemployability are also fully exempt (A.R.S. 42-11111 as amended by Laws 2026, ch. 140).

Does Arizona freeze property taxes for seniors?

No, it freezes value, not taxes. The senior valuation protection option under Ariz. Const. art. IX, sec. 18 fixes the limited property value of the primary residence for owners 65 and older who meet the income limit; apply by September 1 and reapply every three years.

Do I have to reapply for an Arizona property tax exemption every year?

The statute does not require a new affidavit each year, but A.R.S. 42-11111 requires a widow, widower or disability claimant to recalculate prior-year income annually, and every claimant must notify the assessor in writing of any disqualifying event.

Does the Arizona homestead exemption protect my house from creditors?

The tax exemption does not. The separate creditor homestead under A.R.S. 33-1101 protects up to $400,000 of equity (the statutory base, indexed each January 1 since 2024) by operation of law, but it does not stop mortgages, mechanic's liens or support arrears (A.R.S. 33-1103).