This bill establishes a partial property tax exemption for certain residential properties sold by the United States Department of Housing and Urban Development (HUD) in disaster areas. Specifically, it applies to properties sold to individuals who occupy them as their homestead, provided the sale was intended to offer housing following a major disaster or disaster emergency. The exemption lasts for four assessment years, with the percentage of the actual value exempted decreasing over time: 80% in the first year, 60% in the second, 40% in the third, and 20% in the fourth year.

The bill also includes definitions for "homestead" and "owner," clarifying that a homestead is a dwelling occupied by the owner for at least six months during a calendar year, and that the term "owner" aligns with existing definitions in section 425.11. The legislation aims to support individuals affected by disasters by reducing their property tax burden during the initial years of homeownership.

Statutes affected:
Introduced: 427.1