Delaware reduces senior residency requirement for tax credits from 10 years to 3 years

Delaware seniors will soon find it easier to qualify for property tax credits, thanks to House Bill 72, introduced on March 12, 2025. This legislation aims to reduce the residency requirement for seniors from ten years to just three years, reinstating a standard that was in place prior to 2017.

The bill addresses concerns from the senior community, many of whom have expressed that the previous ten-year requirement was overly restrictive and excluded long-term residents who may have moved to Delaware later in life. By lowering the threshold, the bill seeks to provide financial relief to a broader range of seniors, allowing them to benefit from property tax credits that can significantly ease their financial burdens.

Key provisions of House Bill 72 stipulate that for the years 2018 through 2025, seniors who have been legally domiciled in Delaware for at least ten consecutive years will still be eligible for credits. However, starting January 1, 2026, the new three-year requirement will take effect, allowing more recent residents to qualify.

The introduction of this bill has sparked discussions among lawmakers and community advocates. Supporters argue that it is a necessary step to support seniors who contribute to the community but may struggle with rising living costs. Critics, however, have raised concerns about the potential impact on county revenues and whether the change could lead to increased demand for tax credits that may strain local budgets.

As Delaware prepares to implement this significant change, experts suggest that the bill could have positive social implications by fostering a more inclusive environment for seniors. By making property tax credits more accessible, the state may enhance the quality of life for many older residents, encouraging them to remain in their homes and communities.

House Bill 72 is poised to reshape the landscape of property tax relief for seniors in Delaware, reflecting a growing recognition of the need to adapt policies to better serve the needs of all residents. As the bill moves through the legislative process, its potential to impact the lives of many seniors remains a focal point of discussion among stakeholders.