Delaware Homestead Exemption: Senior Credits, County Programs

Delaware has no general homestead exemption that lowers the property tax on every owner-occupied home. The research behind this page enumerated 9 Del. C. chapter 81 and 14 Del. C. chapter 19, the state's property tax exemption and school tax chapters, and found no such program. What state law offers is narrower: a senior school property tax credit of 50% of regular school property taxes, up to $500, for homeowners 65 or older under 14 Del. C. § 1917(c), and a school tax credit for veterans with a 100% disability rating under § 1917(d).

Both credits exist only in school districts whose board has voted to authorize them, and both are claimed by written application to your county receiver of taxes or treasurer, received by April 30 before the tax year. Each of the three counties, New Castle, Kent and Sussex, also runs its own senior exemption with its own amounts and rules. For other states, see our guide to homestead exemptions by state.

Information last verified on October 8, 2026. This article has not been reviewed by a licensed lawyer.

Jurisdiction scope: This article covers Delaware property tax relief for homeowners under 14 Del. C. § 1917 and 9 Del. C. §§ 8131-8141, the senior exemption figures New Castle, Kent and Sussex counties publish, and the bankruptcy homestead exemption in 10 Del. C. § 4914. It does not cover municipal tax programs, business or rental property, county programs the research could not open, or the law of other states.

Does Delaware have a homestead exemption?

No, not in the sense most states use the term. No Delaware statute takes a fixed amount off the assessed value of every owner-occupied home. The research for this page enumerated 9 Del. C. chapter 81 (sections 8101 to 8141) and 14 Del. C. chapter 19 (sections 1901 to 1925) and found no general owner-occupied homestead exemption in either.

What does exist falls into three groups:

• State school tax credits under 14 Del. C. § 1917: one for homeowners 65 or older and one for veterans with a 100% disability rating. Each depends on a vote of the local school board.
• County senior exemptions set by county ordinance in New Castle, Kent and Sussex counties, built on the framework in 9 Del. C. §§ 8131-8141.
• The bankruptcy homestead in 10 Del. C. § 4914, which is a creditor rule, not a tax break.

Delaware senior school property tax credit (age 65 and older)

The Delaware Department of Finance describes the credit this way:

"Homeowners age 65 or over are eligible for a tax credit against regular school property taxes of 50 percent (up to $500). This credit may only be used against property taxes on a primary residence."

The credit applies to regular school property taxes only, not county or municipal taxes. Under the statute, it is available only where the local school board has authorized it. 14 Del. C. § 1917(c) begins:

"If authorized by majority vote of the whole school board of the local school district pursuant to § 6102(q) of Title 29, there shall be allowed a credit against taxation imposed pursuant to this chapter on the valuation of any qualified property."

The Finance Department's page reads as if the credit applies everywhere, but the statute makes it a local-board option, and the research did not verify which districts have authorized it. Your county tax office can tell you whether your district offers it.

Who is eligible

• Age. You must be 65 or older as of June 30 immediately before the county fiscal year begins.
• Residence. The property must be owned and occupied as your principal residence.
• Domicile. If you established legal domicile in Delaware after December 31, 2017, you must have been domiciled in the state for at least 10 consecutive years as of that June 30. The required period is 3 years if you established domicile between January 1, 2013 and December 31, 2017. The Finance Department treats domicile established before January 1, 2013 as meeting the test.
• Paid taxes. The property tax bill must be paid in full by the end of the tax year to keep the credit for the following year.
• One credit per property. Only one full credit is allowed per property.

How and when to apply

File the Senior School Property Tax Credit Application, a form prescribed by the Secretary of Finance and linked from the Department of Finance senior relief page, with the county where you live. The county contacts the Department lists are New Castle (302) 395-5520, Kent (302) 744-2341 and Sussex (302) 855-7871. Include a copy of a valid driver's license or state ID for each applicant.

The deadline is set by statute: the application "shall be filed with and received by the receiver of taxes or county treasurer no later than April 30 immediately prior to the beginning of that tax year." The Secretary of Finance may waive that date for an applicant who is financially disabled.

You do not reapply every year. The Department's FAQ says that once a homeowner is approved for the program, there is no need to re-apply each year, but that after a move the homeowner should contact the county property tax office for instructions on continuing to receive the credit at the new residence.

Improper claims

If the Secretary of Finance determines that a credit "has been claimed in disregard of the conditions under which such claims may be made" (for example, after the home stopped being your principal residence), Section 1917 lets the Secretary assess the claimant "for the amount of the credit and, unless it is shown that such disregard is due to reasonable cause and not due to wilful neglect, with a penalty of 20% of the credit claimed along with interest at 1% for any month or fraction of a month commencing on the date on which the claim for credit was filed." The disabled-veteran credit has the same rule (§ 1917(d)(7)).

School tax credit for 100% disabled veterans

14 Del. C. § 1917(d) allows a credit for the full school tax on a qualifying veteran's home, but only where the local school board has voted for it:

"If authorized by majority vote of the whole school board of the local school district under § 6102(r) of Title 29, there will be allowed a credit against taxation in the full amount of tax liability imposed by this chapter on the valuation of any qualified property."

"Qualified property" means property owned and occupied as a dwelling by, and as the principal residence of, a qualified person. A qualified person is a veteran who:

1. Receives from the U.S. Department of Veterans Affairs 100% disability compensation due to a service-connected, permanent and total disability based on individual unemployability or a 100% disability rating; and
2. Is legally domiciled in Delaware for at least 3 consecutive years.

Where the board has authorized the credit, it continues for a surviving spouse if the veteran was claiming it at death, the spouse was a titled owner before the death, has not remarried, and owns and occupies the home as a principal residence. It ends if the spouse remarries or stops owning or living in the home. Apply in writing on the Secretary of Finance's form to the receiver of taxes or county treasurer; the application "must be filed with and received by the receiver of taxes or county treasurer no later than April 30 immediately before the beginning of that tax year."

The form is the Division of Revenue's Application for Disabled Veteran School Property Tax Credit. It says the credit is not permitted retroactively and is not transferable: a new principal residence needs a new application. You must notify the county within 60 days of any change in your disability rating. A claimant who qualifies for both this credit and the senior credit receives this one and cannot also claim the senior credit (§ 1917(d)(4)e.).

County senior and disability exemptions

Delaware's three counties each run a senior exemption by county ordinance. The amounts differ widely, and each county's figure applies only in that county.

New Castle County

New Castle County's application form, revised January 6, 2026, states: "If your application is approved, the maximum amount of the exemption is $173,000 of assessed value (as to County taxes) or $173,000 of assessed value (as to school district taxes)." It adds that if all requirements are met, you may receive both.

For the county tax exemption on the 2026 form, you must turn 65 before July 1, 2026, live in the home as your principal residence, and own a property whose July 1, 2024 assessed value does not exceed $676,000. Income may not exceed $65,000, or $65,000 combined for a married couple, measured as adjusted gross income excluding Social Security and Tier 1 Railroad Retirement. You also need 10 consecutive years of Delaware domicile, and county taxes and sewer charges must be paid or on an approved payment plan.

The school district exemption has much lower income limits: $15,000 for a single applicant or $19,000 combined for a married couple, for an applicant 65 or older who holds record title (or holds it through a revocable trust).

Send the application to the New Castle County Office of Finance, Assessment Division, 87 Reads Way, New Castle, DE 19720, by email to assessment@newcastlede.gov, or by fax to (302) 395-5544; the phone number is (302) 395-5520. The 2026 form's filing deadline was June 1, 2026, so use the current year's form for later cycles. You do not need to reapply if the county previously approved an elderly exemption and you still live in the same home, but a move requires a new application.

Kent County

Kent County offers an Elderly/Disability Property Tax Exemption to people 65 or older by May 31 and to people who are entirely (100%) disabled, with documented proof. Adjusted gross income may not exceed $18,000 for a single applicant or $24,750 for an applicant and spouse, and taxes owed to Kent County must be paid in full by April 30. Submit the application to the Assessment Office by fax or by mail with a signature, by April 30 before the tax year.

You must have lived in Delaware for the 5 years, and in the home for the 12 months, before the tax year; for an owner totally disabled in U.S. military service, these residency periods are waived, but the home must still be the principal residence. Social Security, Tier I railroad retirement and, for a disabled applicant, disability-related pension income are not counted, and the limit rises $3,100 for each dependent you solely support.

Under Kent County Code § 191-9, as amended April 22, 2025, a qualifying applicant is exempt from county real property taxes on the first $100,000 of assessed value of the home and up to one acre of land (not local ditch taxes or sewer, trash or other fees), plus another $20,000 of assessed value for an owner who became totally disabled while in U.S. military service.

You must verify your eligibility in writing every year to keep the exemption (§ 191-10). The county page says applicants "must re-apply each year."

Sussex County

Under Sussex County Code chapter 103, as amended March 25, 2025 by Ordinance No. 3082, a qualifying resident is exempt from county tax on the home up to $229,000 of assessed value. The applicant must have reached age 65, own and live in the dwelling, have been a resident of Sussex County for the five years immediately before applying, and have income not over $6,000, or $7,500 in the aggregate for a married couple, not counting Social Security and Tier I railroad retirement. The exemption stays in effect as long as the applicant continues to own the home under the stated conditions.

Applications follow 9 Del. C. § 8133. The research could not open Sussex County's own application page or form, so the county's deadline and form are not stated here. Contact the Sussex County tax office before you file.

Disability exemptions

Kent County's exemption covers people who are 100% disabled.

New Castle County's 2026 disability exemption form allows up to $173,000 of assessed value off county taxes (income up to $65,000) and up to $173,000 off school district taxes (income up to $15,000 single or $19,000 married). Each can rise by up to $227,000 for certain loss-of-limb disabilities and by up to $27,000 for a disability incurred in U.S. military service. The 2026 filing deadline was June 1, 2026.

The same form says a veteran who qualifies for the state Disabled Veteran's School Tax Credit "will automatically receive a full exemption of the total assessed value of your property, exclusive of any local light and ditch taxes or any stormwater maintenance fee imposed, for County tax purposes." The research could not open Sussex County's disability program, so its terms are not stated here; ask the county.

The 9 Del. C. § 8132 exemption in state law

The statute that frames the county exemptions sets a much smaller baseline. 9 Del. C. § 8132(a) provides that every Delaware resident 65 or older, "having an income not in excess of $3,000 per year and residing in a dwelling house owned by the person," is entitled, "on proper claim being made therefor, to exemption from taxation on such real property to an assessed valuation not exceeding $5,000 in the aggregate."

Key limits in the subchapter:

• Income counts "all income from whatever source derived including realized capital gains and, in their entirety, pension, annuity, retirement, and Social Security benefits."
• No exemption is "in addition to any other exemption to which said person may be entitled."
• It does not apply to municipal property taxes, ditch taxes or sewer taxes.
• The applicant must have 10 years of Delaware domicile, and there is no exemption if a spouse living in the dwelling has income over $3,000.
• You file a written application on a county-prescribed form with the assessor of the taxing district, by a date the taxing district sets. Annual renewal is not required unless your income rises above the limit or you no longer own the dwelling.

The county amounts in the table above come from county ordinances and forms; the $5,000 figure is the statute's own text.

Recent changes: HB 159 and the pending HB 463

HB 159 (85 Del. Laws c. 31). Signed June 13, 2025, this act addressed the county exemption amounts that also govern the school tax exemption, now in 14 Del. C. § 1902(a)(3). The current text reads: "Upon a county-wide reassessment under § 8306(b) of Title 9, a county shall, by subsequent county ordinance, modify these exemption amounts." The act does not itself set any dollar figure; the $173,000 New Castle amount comes from the county's form.

HB 463 (pending). HB 463 would align New Castle County's school tax elderly exemption eligibility with the county tax criteria, starting in fiscal 2027. As of October 8, 2026, the official bill page still shows "Status: Senate Executive 6/18/26" and "Awaiting consideration in Committee," with no session-law chapter, so it has not been enacted. It is not law unless enacted, and the New Castle school tax income limits above remain those on the 2026 form.

Assessment caps and moving

The research found no homestead assessment cap or freeze in Delaware law. It reviewed 9 Del. C. chapter 81 and the section list of 9 Del. C. chapter 83, which governs assessments, including § 8306 on the standard of assessment and frequency of reassessment, and found no homestead-based cap.

None of these programs is portable. New Castle County's form says: "The County tax exemption, if granted, applies only to the property referenced in this application. If you transfer that property and move to a new principal residence, you must submit a new application." The Finance Department likewise tells senior credit recipients to contact the county after a move.

Delaware's creditor homestead in bankruptcy (a separate law)

The property tax programs above do nothing to protect a home from creditors. Delaware's protection for home equity is a different statute that works only inside a bankruptcy or insolvency case. 10 Del. C. § 4914 begins: "In any federal bankruptcy or state insolvency proceeding, an individual debtor and/or such individual's spouse domiciled in Delaware shall be authorized to exempt" listed property, including:

"(1) Equity in real property or equity in a manufactured home (as defined in Chapter 70 of Title 25) which constitutes a debtor's principal residence in an aggregate amount not to exceed $200,000."

Other points from the same chapter:

• Joint cases. In a joint case the principal residence exemption is $200,000 in total (§ 4914(d)).
• Wildcard. A separate $25,000 aggregate exemption covers personal property and equity in real property other than the principal residence (§ 4914(b)).
• Exceptions. A debtor may not exempt any amount of residence equity if the Bankruptcy Court determines, after notice and hearing, that the debtor owes a debt arising from securities-law violations, fiduciary securities fraud, or a criminal act, intentional tort, or wilful or reckless misconduct that caused serious physical injury or death in the preceding 5 years.
• No federal option. Section 4914 provides that "an individual debtor domiciled in Delaware is not authorized or entitled to elect the federal exemptions as set forth in § 522(d)" of the Bankruptcy Code.
• No declaration. The research found no homestead declaration requirement in 10 Del. C. §§ 4901-4916.
• Recent movers. In bankruptcy, Delaware's exemptions generally apply if Delaware was your domicile for the 730 days before you file; if your domicile was not in one state for that whole period, the law of the state where you lived for most of the 180 days before it applies (11 U.S.C. § 522(b)(3)(A)).

Section 4914 does not state that this $200,000 applies outside bankruptcy or insolvency, and 10 Del. C. § 4901 provides for real estate to be taken and sold on execution when a debtor's personal estate is insufficient. For how the exemption works in a case, see our guide to bankruptcy in Delaware.

Homestead allowance in probate

The research did not locate a Delaware probate homestead allowance; the asset and inventory chapter of Title 12 contains none. The closest protection is the surviving spouse's allowance in 12 Del. C. § 2308: up to $7,500 in cash from the estate, but only if the spouse demands it in writing from the Register of Wills and the executor or administrator within 9 months of the death or 6 months after letters are granted, whichever is shorter. For how a Delaware estate is administered, see Delaware probate.

Related

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

Disclaimer: This article provides general legal information about Delaware property tax credits and exemptions under 14 Del. C. § 1917 and 9 Del. C. §§ 8131-8141, county senior exemptions, and the bankruptcy exemption in 10 Del. C. § 4914, as verified on October 8, 2026. It is not tax or legal advice. For your situation, contact your county assessment or tax office, the Delaware Department of Finance, or a lawyer licensed in Delaware.

Last updated: October 8, 2026.

Frequently Asked Questions

Does Delaware have a homestead exemption?

Not a general one. Delaware law has no statewide homestead exemption for every owner-occupied home; it offers a senior school tax credit and a disabled-veteran school tax credit where the local school board authorized them (14 Del. C. 1917(c) and (d)), and each county runs its own senior exemption.

How much is the Delaware senior school property tax credit?

The Department of Finance describes it as 50% of regular school property taxes, up to $500, for homeowners 65 or older, used only against taxes on a primary residence. It is available only where the local school board authorized it (14 Del. C. 1917(c)).

When is the deadline to apply for the Delaware senior school tax credit?

Under 14 Del. C. 1917(c), the application must be filed with and received by the receiver of taxes or county treasurer no later than April 30 immediately before the tax year.

Do I have to reapply for the Delaware senior credit every year?

No. The Department of Finance says that once you are approved you do not need to reapply each year, but if you move you should contact your county property tax office about continuing the credit at the new home.

How much is the New Castle County elderly exemption?

On its 2026 form, New Castle County lists a maximum of $173,000 of assessed value for county taxes and, separately, $173,000 for school district taxes, each with its own income limit. The 2026 filing deadline was June 1, 2026, and these are county figures, not statewide ones.

Is there a property tax break for disabled veterans in Delaware?

Yes, where the local school board authorized it: 14 Del. C. 1917(d) allows a credit for the full school tax on the principal residence of a veteran receiving 100% VA disability compensation who has been domiciled in Delaware for at least 3 consecutive years. Apply to the county receiver of taxes or treasurer by April 30. New Castle County's 2026 disability form adds that a veteran who qualifies for that credit automatically receives a full exemption from county property tax on the home, other than light and ditch taxes and stormwater fees.

Does the Delaware homestead exemption protect my house from creditors?

The tax credits and exemptions do not. A separate law, 10 Del. C. 4914(c), lets a debtor exempt up to $200,000 of equity in a principal residence, but only in a federal bankruptcy or state insolvency proceeding.