Committee hears bill to let lower‑income seniors defer property tax increases via state loan program

Representative Scott Rosenzweig, sponsor of House Bill 8 36, told the House Taxation Committee the bill would create a property tax deferral loan program intended to help lower‑income seniors remain in their homes as property tax bills rise. "The intent of House Bill 8 36 is to help Montana's seniors stay in their homes when their property taxes increase beyond their budget," Rosenzweig said.

The bill would let qualifying owners defer only the increased portion of their property tax bill and finance that increase through a state‑administered, simple‑interest reverse‑mortgage‑style loan. Rosenzweig said the program would be administered by the Montana Board of Housing and funded initially with a request for $50,000,000. "We will offer these reverse mortgage loans at the prime mortgage rate, or 5%, whichever is less," Rosenzweig said, adding the loan would use simple (non‑compounded) interest and would be repaid by a lien when the home is sold or by the estate upon the owner's death.

Why it matters: Rosenzweig framed the bill as an alternative to grant‑style property tax assistance that shifts tax burdens. He said the…