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Detroit homeowners may be eligible for property tax assistance and not even know it

The deadline to apply is fast approaching
Detroit Landscape
Posted at 10:38 AM, Dec 09, 2022
and last updated 2022-12-09 18:22:50-05

DETROIT (WXYZ) — Robert Lee loves his big dogs and that's why the retired home care provider said it's important that he own his own home.

"I have a place for my animals. And just the weight off your back about rent because rents are increasing," Lee said. "It's just the freedom of knowing that you have a place that's yours and having a piece of the American dream, you know."

Lee moved into his home on Detroit's west side just as the pandemic was beginning in March of 2020. He had just sold his old house which he purchased from the Land Bank for $1,000 over a decade ago.

Lee said he didn't expect his property taxes to be as high as they were.

"I'm on a fixed income," Lee said. "I figured I could pay $100 dollars a month and that would take care of my taxes every year but then when I started to see it go up, that's when I got a little worried."

Thankfully, Lee was able to get assistance from a state law that not many people may be aware even exists.

The program is income based and in Detroit, it's called the Homeowners Property Exemption (HOPE).

"One of the things we're really fixed on is stabilization of our neighborhoods," said Willie Donwell who heads up the City of Detroit's Board of Review where they manage tax appeals.

For 2022, Donwell said they only have received just over 18,000 applications. In 2021, they received over 15,000. So word is spreading but it's quite likely a lot of other homeowners could quality for a reduction or elimination of their current property tax obligation.

"We have four different levels of exemptions - 100%, 50%, 25%. And then we went back to the state of Michigan and got a special 10% for those who have lost income or are in threat of foreclosure, that's at a higher income level," Donwell told 7 Action News.

And it's not just Detroit homeowners who may be able to qualify for the program that is done in accordance with MCL 211.7u.

"All municipalities have the same program. It's just not called HOPE," said Donwell, adding that requirements may vary from one municipality to the next, but it's aimed at helping low income homeowners who reside in the property for which they're seeking assistance.

Contact your local assessor's office for details and applications should be available online. Be aware that deadlines vary.

The deadline to apply in Detroit is Monday, December 12 at 5 pm.

Monday is also the last day to receive help applying for the property tax assistance. Help will be available Monday, December 12, from 10 am to 5 pm at Wayne Metro which is located at 7310 Woodward Avenue (at East Grand Boulevard) in Detroit.

Income guidelines as well as the application for Detroit homeowners can be found here on the city's website detroitmi.gov/hope.

Homeowners can also call (313) 244-0274 for information.

Assistance may also be available for back taxes in the Pay As You Stay (PAYS) program.

"There's a large number of homeowners that need to do repairs on their home, along with other things that they're dealing with. So, if they can get that reduction of property taxes, it may assist them with those other things they need to do either within the home or to the home. That will further to stabilize their neighborhoods," said Donwell.

"For me, they covered everything. It was a great blessing. They covered everything," Lee said. "It truly is an uplifting experience to know that there is somebody out there that is willing to help those that are in need."