Property Tax Deferral for Disabled or Senior Citizens





Variations in Receipt of Benefit

No Variation in Receipt of Benefits

Benefit Type



The benefit is a deferral of property taxes including those for special assessment improvement purposes with a 6% interest rate per annum. The state pays the county the property taxes, and the property owner owes the money to the state. This deferral results in a lien being placed on the property for the amount of taxes deferred plus interest. Applications must be submitted to the county assessor where the residence is located by 15 April 2019. Taxpayers who are participants in the program are required to certify their continuing eligibility every two years after initial approval.

How is Benefit Disbursed


Eligible Property Type


Characteristics of Eligible Property

Only homestead property is eligible for this program. The homestead must be insured for fire and other casualty.

Eligibility Criteria




Income Ceiling

Principal Residence

Property Value Limit

Wealth Limit

Surviving Spouse

Other Criteria

Description of Eligibility Criteria

This program is available to persons aged 62 and older or disabled persons who have lived in the home for at least 5 years. The program is limited to those with income below the threshold. The income threshold for 2019 program is federal adjusted gross income in 2018 of $45,500. The limit is calculated annually comparing the Consumer Price Index (CPI) of the first 6 month of the current year. with the first 6 months of 2001. The 5 year requirement does not apply for residents who have moved in order to "downsize." In order to qualify without the 5 year requirement, the applicant must meet the following criteria: (1) Previous home was in the deferral program (2) The new home has a lower market value than the previous (3) The new home was purchased within 1-year of the sale of the previous home (4) The amount financed must be less than 80 percent of the purchase price of the new home. (5) Deferral lien on previous home must be satisfied The program is limited to those with net worth, excluding the home claimed for the deferral, of $500,000 or less. The real market value of the home must be less than a percentage of the median market value of the county, adjusted by the length of time the owner has lived in the house. The residence can be no more than 100% of median market value for those owning and living in house for less than 7 years, up to 250% of median market value for those who have lived in the house for 25 or more years. "Person with a disability" means a person who has been determined to be eligible to receive or who is receiving federal Social Security benefits due to disability or blindness, including a person who is receiving Social Security survivor benefits in lieu of Social Security benefits due to disability or blindness. If 2 or more individuals are filing a claim jointly under the age eligibility criteria, all applicants must be over age 62. Homeowners must maintain insurance covering fire and other casualty. Taxpayers who participated in the program prior to 2011 and had a reverse mortgage before that date, are still eligible to participate.

Local Option in Adoption of Program

Local government is unable to exercise an option

Local Option Regarding Program Features

No local option regarding program features

State Funding for Local Tax Loss

State and local government share the local tax loss

Description of State Funding for Tax Loss

For persons claiming this deferral, the state annually reimburses local governments the amount of taxes that would otherwise have been paid less 3% of the total. The state maintains a Senior Property Tax Deferral Revolving Account for the purposes of reimbursing local governments for revenues lost as a result of this program.

Record ID



The growth in the number of new applicants to the program annually is limited to a 5 percent increase over the prior year's new program participants. Taxes become payable upon: (a) the death of a claimant; (b) when the property is sold or no longer inhabited as a homestead (unless reasons of health prevent the owner from occupying the property as a homestead); or (c) when the qualifying disability ends. If income rises above the eligibility threshold, the amount of taxes for which the deferral is allowed shall decline by $0.50 for every $1.00 of income above the threshold. The deferral may be continued after the property is condemned by the Department of Transportation.


Or. Rev. Stat. § 311.666 ~ § 311.701;
Or. Rev. Stat. § 311.702 ~ § 311.735 (in effect for 2019)
Oregon Department of Revenue Property Tax Deferrals for Disabled and Senior Citizens (2019)
[ Accessed 11/12/2020]
View Archived Source
Oregon Department of Revenue

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