Did you know that you could save hundreds of dollars a year on your property taxes with one simple filing? That’s the power of Oahu’s homeowner exemption—a one-time claim that reduces the taxable value of your home and lowers your annual bill for as long as you live there. Read on to learn more about the homeowner exemption, and if you're a new homeowner this year, be sure to file your claim by September 30.
When is the deadline to file a homeowner exemption on Oahu?
If you purchased a new home this year, be sure to file your homeowner exemption by Tuesday, September 30, 2025, to avoid paying a higher tax rate. Exemptions claimed by September 30, 2025, will be effective July 1, 2026.
What is the homeowner exemption on Oahu?
A homeowner exemption reduces the annual property tax bill for qualified homeowners on Oahu. The first home exemption law in Hawaii was enacted in 1896 by the Republic of Hawaii to provide tax relief and encourage homeownership. The home exemption amount in 1896 was $300!
How much is the Oahu home exemption?
In the 2025-2026 tax year, the home exemption will be $120,000 for homeowners under the age of 65 (and for homeowners who do not have their birthdate on file). This means that $120,000 is deducted from the assessed value of the property and the homeowner is taxed on the balance. For homeowners ages 65 years and older, the home exemption is $160,000. To qualify for this exemption amount, you must be 65 years or older on or before June 30 of the preceding tax year for which the exemption is claimed. Property owners with an existing home exemption with their date of birth on file do not need to re-apply for the new exemption amounts. Exemption amounts will automatically increase depending on the homeowner's age.
Homeowner exemptions for disabled residents
Homeowners who are confined to their homes due to Hansen's Disease (leprosy) or are blind, deaf or totally disabled can claim an additional exemption. In this case, the claimant does not need to be residing on the property. The maximum amount is $25,000. What to file: Form BFS-RPA-E-10.6 and 7 Claim for Hansen’s Disease Suffer, Blind, Deaf or Totally Disabled and State of Hawaii Certified Physician’s Report (N-172 or N-857)
Veterans who are 100% totally disabled due to service-related injuries while on active duty with U.S. Armed Forces can claim a full exemption, subject to the minimum real property tax (currently $300). Additionally, a widow(er) of a totally disabled veteran who remains unmarried and continues to own and occupy the home can also claim this exemption. There is no annual filing deadline for this claim, and the exemption will take effect beginning with the next tax payment date provided the claim for exemption is filed on or before the first tax payment (Aug. 19), the second tax payment (Feb. 19) What to File: Form BFS-RP-E-10.5 Claim for Exemption Totally Disabled Veteran Exemption.
How does the homeowner exemption work?
The home exemption amount is subtracted from the home's assesed value before the tax rate is calculated. For example, a home that is assessed at $1M with a standard home exemption of $120,000, would have a taxable value of $880,000. At the Residential A tax rate of $3.50 per $1,000, the amount of property taxes owed would be $3,080—a savings of $420 for the homeowner.
Who qualifies for an Oahu home exemption?
Most owner-occupants will qualify for a home exemption.
To qualify, you must:
- Own and occupy the property as your main home (that means you must live there for 270 days out of the calendar year).
- Have your ownership recorded at the Bureau of Conveyances, State Department of Land and Natural Resources, in Honolulu, on or before Sept. 30 of the preceding tax year for which you claim the exemption.
- File a claim for home exemption with the Real Property Assessment Division on or before Sept. 30 preceding the tax year for which you claim the exemption.
- If you are claiming an exemption based on a disability or disabled veteran status, you must file additional claims:
- Claim for Hansen’s Disease Suffer, Blind, Deaf or Totally Disabled - Form BFS-RPA-E-10.6 and 7 and State of Hawaii Certified Physician’s Report (N-172 or N-857)
- Claim for Exemption Totally Disabled Veteran Exemption - Form BFS-RP-E-10.5
What do I need to file for an Oahu home exemption?
It's best to file your Oahu Home Exemption Claim within the first 90 days of purchasing your home so you don't forget. However, you have until September 30 to file. This is a "one-and-done" claim, so once you've claimed your exemption, you don't need to do so each year (unless you move).
To save you some time, you'll also need these items handy:
- Tax map key/parcel ID of your property (TMK number)
- Proof of age, including driver's license, state ID, birth certificate or other legal document
For more information, please visit the City and County of Honolulu website or contact your Locations agent.
