In the excitement of closing on a beach house in Surf City or a retirement villa in Leland, the conversation usually revolves around interest rates and insurance premiums. But for many buyers in New Hanover, Pender, and Brunswick counties, the silent budget-killer is the property tax bill—specifically, missing the deductions you are legally entitled to.

As we head into tax season, there is a specific date you need to circle in red: June 1st.

In North Carolina, this is the hard deadline to file for homestead exemptions. If you miss it, you are donating money to the county. Here is the "insider" breakdown of how to lower your tax liability in the coastal market.

The "Homestead" Reality: It’s Not Automatic

Many retirees moving from states like Florida or New York assume their tax breaks transfer automatically or that the closing attorney filed them. They don’t, and they didn’t.

1. The Elderly or Disabled Exclusion
If you are 65+ or totally and permanently disabled, you can shield a portion of your home’s value from taxes.

The Benefit: It excludes the greater of $25,000 or 50% of the appraised value of your permanent residence.

The Trap (Income Limits): This is where coastal buyers often get disqualified. For the 2025 tax year, the income limit is approximately $37,900 (check your specific county, as Pender and New Hanover can vary slightly).

Insider Note: "Income" in NC is defined broadly. It includes Social Security, retirement, and interest. If you are "house rich but cash poor," this is your lifeline.

2. The Disabled Veteran Exclusion
This is the most underutilized exemption in Onslow and Pender counties.

The Benefit: It excludes the first $45,000 of your appraised value.

The Insider Nuance: There is no income limit for this program. You only need to prove a 100% service-connected disability. With our proximity to Camp Lejeune, we see many veterans miss this because they assume they make too much money to qualify.

Mortgage Interest: The "Second Home" Math

If you bought a vacation rental on Oak Island or a condo in Wrightsville Beach, you need to have a serious talk with your CPA about the Mortgage Interest Deduction.

The Cap: Under current tax law (TCJA), you can deduct interest on up to $750,000 of total mortgage debt (combined primary and secondary homes).

The "Boat" Loophole: Did you know a boat with a sleeping berth, galley, and toilet can qualify as a second home? If you live in Landfall but keep a sizable cabin cruiser at a marina in Carolina Beach, the interest on that boat loan might be deductible if you aren't already maxing out the $750k cap on a beach house.

Rental Use Warning: If you rent out that second home for more than 14 days a year, the IRS rules change dramatically. You enter the world of "mixed-use" property, which complicates your interest deduction.

Your Next Step

Don't wait for the tax bill to arrive in August to think about exemptions. The window to apply opens in January and shuts firmly on June 1st.

At Aspyre Realty Group, we act as your strategic partners long after the closing table. We are experts in listening and communicating people's wants into homes that work for them—and that includes ensuring you aren't overpaying the tax man.

Contact Aspyre Realty Group today. We can direct you to the specific "Tax Relief" forms for your county to ensure you lock in every exemption you deserve.