State Treasurer Mike Coffman is reminding senior Colorado homeowners as well as members of the reserves and National Guard called to active duty that they may qualify for the state’s “Property Tax Deferral” program.”Over the past 10 years, Colorado’s booming real estate market has rapidly increased property values. Consequently, many senior citizens now own homes worth five or more times what they originally paid and a property tax bill to match,” Coffman said.The Property Tax Deferral program is designed primarily to help senior citizens, many of whom live on fixed budgets, remain in their homes. The program loans the participants the money to pay the property taxes on their home. A temporary relocation due to ill health will not cause termination of a deferral. Nearly 500 Coloradans are now enrolled in the program, and the Colorado State Treasury lent $566,000 to county treasurers last year.To qualify as a senior citizen, applicants must be age 65 or older and meet the program’s other eligibility requirements. The property owner cannot earn income from the property nor owe any past taxes on the property. Qualifying residences include single-family homes, townhouses, condominiums and mobile homes.Military Reserve and National Guard members, while called to active duty for more than 30 days during a time of war or national emergency, also are eligible to participate in the Property Tax Deferral program.Under the program, the State Treasury makes annual property tax payments directly to the county on behalf of the participants. In return, the treasury receives a lien against the property as security and charges a modest interest rate of 4.25 percent for the 2005 loan. The loan becomes due when the property is sold or converted into a rental property or second home, the claimant dies or the title is transferred to another person.To apply, interested individuals need to contact their county treasurer. Applicants must submit an application in the county in which they reside for each year of property taxes they wish to defer. Applications are accepted each year between January 1 and April 1.
