Goodbye to Property Taxes at 65? A New Rule for Illinois Seniors Changes Everything in 2026

Starting in 2026, Illinois seniors aged 65 and older can benefit from an expanded Senior Citizens Real Estate Tax Deferral Program. Eligibility income limits will rise from $65,000 to $75,000 in 2026, increasing further in subsequent years. Qualified seniors must own and occupy their primary residence for at least three years, have no outstanding property taxes, and maintain insurance. They may defer up to $7,500 annually or 80% of their home's equity.