Homeowners who turn 65 in 2020 get exemption next year
Q: My husband and I own a single-family house in Cook County. My husband turns 65 a little later this year. When are we eligible for the senior exemption and how do we go about applying for it?
A: The senior exemption is available to all homeowners who have owned and occupied their residence as of Jan. 1 and attained 65 years of age or older during the tax year in question. The exemption reduces a home's assessed valuation in Cook County by $8,000 and by $5,000 in the remaining counties. The actual tax reduction depends on your tax rate. The property must be the senior's principal residence. So, as long as this is your husband's principal residence, you are eligible for the senior exemption for tax year 2020, payable in 2021.
To apply, contact the Cook County Assessor's office.
Q: My boyfriend and I are looking to buy a house. We have been talking about getting married but at this point that is not a sure deal. I will be putting more money into this deal than he will. What can I do to protect myself if things go south in our relationship?
A: The smartest thing you can do is discuss now what the two of you think should occur in the event your relationship ends. This is a far easier discussion when things are going well than when things are not.
Will one of you want to stay? If so, what would be the financial ramifications? Will either party have the capability of buying out the other? How will you two address the issue of you contributing more down payment than him? How will you address costs associated with owning the property?
Be aware that if you are obtaining a mortgage together, both of you will be obligated to pay if one of you elects to stop contributing his or her fair share. The other will either be required to pay the full monthly mortgage or risk compromising his or her credit. The mortgage company doesn't care that you can pay your half. They want the full mortgage payment each month and if they don't receive it, they will deem both of you in default.
Once you discuss and resolve these issues, someone, preferably an attorney, should draft an agreement you both sign. I would think the agreement should contain a provision that in the event either party wishes to sell the property, or to have their interest bought out by the other, an agreement must be reached within a certain period of time as to how you two will proceed; otherwise, the property must be listed for sale. Include a provision that dictates how you will determine the list and sale price.
Q: When can I contest my real estate tax bill?
A: Actually, one doesn't contest their real estate tax bill, they contest the assessed valuation of their property. As the assessed valuation of your property is by far the most significant component in calculating the tax bill, a reduction in your assessed valuation almost certainly would result in a reduction to your tax bill.
You have approximately 30 days from the date the assessments are published to contest your valuation. Each township publishes at a different time, though most publish in the summer and fall. Assessments published over the next few months will impact your 2020 tax bill, payable in 2021. Contact your township assessor for further information.
• Send your questions to attorney Tom Resnick, 910 E. Oak St., Lake in the Hills, IL 60156, by email to tom@thomasresnicklaw.com or call (847) 359-8983.