Mayor Michelle Wu Signs City Order to Expand Property Tax Relief For Older Homeowners

Order updates senior property tax exemption limits each year to provide relief for low-income older homeowners

Mayor Michelle Wu joined City Councilor Ruthzee Louijeune, Mass Senior Action, local elected officials, and residents to sign a city order that lets Boston adjust the senior property tax break each year to keep up with the cost of living. Under this change, the income and assets limits for the senior exemption will rise annually with inflation, based on the federal Consumer Price Index. The new limits will allow more older homeowners to qualify starting on July 1, 2026.

"Helping seniors age in place means keeping them connected to homes, neighborhoods, families, and support networks, and this order provides real relief to older homeowners at a time when costs keep rising," said Mayor Michelle Wu. "I'm grateful to Councilor Louijeune for championing this effort and to the entire City Council for their partnership in supporting our older homeowners."

The City of Boston currently offers a senior property tax exemption under the 41C program, which provides property tax relief for older adults based on age, income and asset thresholds. These thresholds are fixed unless increased by local action and have become outdated for many municipalities across the state due to inflation and rising costs for residents and families.

"Investing in our seniors is more than a debt of gratitude, it's a commitment to Boston's future," said City Councilor Ruthzee Louijeune. "I am proud to have led the effort to adopt Clause 41D, helping protect older homeowners today while strengthening the promise that future generations will also be able to age in place, remain rooted, and continue shaping the neighborhoods they call home."

Adopting Clause 41D will help preserve property tax relief for Boston's older adult homeowners who are at risk of losing eligibility as inflation affects their income and savings. This order was led and filed by City Councilor Ruthzee Louijeune, co-sponsored by City Councilors Brian Worrell and Ben Weber, and unanimously approved by the Boston City Council. This announcement builds on Mayor Wu and the City's work to address affordability, protect residents and families from rising costs, and provide much-needed relief and assistance to older residents across neighborhoods.

"Adding an annual cost of living increase will help people stay eligible for the 41C exemption as their Social Security adjusts with inflation," said Emily Shea, Boston's Age Strong Commissioner. "This is important because our older residents deserve the opportunity to age with dignity in the communities they helped build."

This new order will take effect on July 1, 2027 and applicants can begin to apply with the Taxpayer Referral Assistance Center. Income limits for residents will be posted on the City's Assessing Department website on July 1, 2027. Nearly half of Boston's senior homeowners are severely housing cost-burdened, paying more than 50 percent of their income to housing costs. Ultimately, the City of Boston will have the ability to determine the final rate for the fee, collection method, and any exemptions that may exist.

Specifically, this order would:

• Increase the fixed income with social security amounts from $25,980 to $26,687 if single and from $38,970 to $40,031 if married and increase total assets from $40,000 to $41,080 if single and $55,000 to $56,485 if married; and broaden eligibility by replacing the fixed limits with a percentage increase of the CPI.

Since 2022, the City has also included an expansion of the senior tax exemption in multiple filed home rule petitions to improve quality of life and protect older Boston residents. Through these efforts, the City has worked to secure expanded property tax relief for low-income seniors by modifying the eligibility criteria for the 41C program and increasing the exemption. These changes, if they were implemented by the State, would provide the City with flexibility to modernize the criteria and provide much-needed and sustainable financial assistance to a vulnerable population.

"Far too many seniors across Boston struggle with rising property taxes. We deeply appreciate Mayor Wu, Councilor Louijeune, and the City Council for doing all they can to expand relief," said Lillie Bryan, President of the Boston Chapter of the Massachusetts Senior Action Council. "Clause 41D will protect seniors from losing access to the help they need by raising the income and asset limits each year to reflect the cost of living. We must now build on this victory to reach more seniors who need help, and we call on the legislature to pass Boston's Home Rule petitions."

This action also builds on Mayor Wu and the City's long-standing efforts to amend state laws to address the housing crisis and provide predictability for residents. Earlier this year, Mayor Wu signed the City's Transfer Fee Home Rule Petition, a proposal to create a new local funding source for affordable housing. Passed by the Boston City Council on April 15, 2026, the petition is with the State Legislature for consideration. The proposal would allow Boston to apply a fee of up to 2% on real estate transactions over $2 million, with the first $2 million exempt to limit impacts on middle-class homeowners. The Mayor has advanced similar proposals in 2021 and 2023 and continues to pursue the transfer fee as a tool to help build more affordable housing across Boston. Last year, the City also refiled an expanded residential tax relief package that aimed at providing financial assistance to Boston residents impacted by sharp increases in their property tax bills.

• Published by: Mayor's Office