Star Exemption when buying a new home

I just read the post that you need to reapply for Star. Does the exemption run with the house or the owner? We will be closing on our new home in February. If the current owner does not reapply, how does that effect us tax wise?

Star Exemption when buying a new home

As I understand it if the current owner does not reapply then you will have to pay the entire tax bill until you apply for the star exemption. Talk to your attorney about having the seller reapply before the end of the month. When you do close on the house you will have to fill out a star application with your town/city.

Re: Star Exemption when buying a new home

The exemption runs with the owner, not the house. For basic STAR, each owner has to show that the house is their primary residence and that the household income is under $500K.

So it's always been the case that when a new owner purchases a house, they have to apply for their own exemption(s). So I always advise people that there could be a bit of a time lag (like a year) between when they purchase and when their STAR kicks in.

As a practical matter, the town/county records often were not up to date in terms of when a property changed hands, so new owners would sometimes get the benefit of the old owner's exemptions until their own kicked in. I know when we bought, the previous owners got a veteran's exemption, as well as enhanced STAR (for seniors), so we were doing much better than we are now that we just get basic STAR.

But as a new owner, you are not entitled to the old owner's exemptions, and I think fewer people are getting the benefit of the previous owner's exemptions (they are obviously trying to tighten up the STAR system to avoid people getting what they aren't entitled to).

So bottom line, I always tell buyers that you may not get STAR right away, and you must be sure to apply for it after you close on the house.