Through tax year 2007 (payable in 2008), this exemption lowers the equalized assessed value of your property by $5,000. For tax year 2008 (payable in 2009), this exemption increases to $5,500. For tax year 2009 (payable in 2010), this exemption again increases to $6,000. To receive this exemption, you must have lived on the property, which is your principal residence, on or before January 1 of the tax year; otherwise, the value may be prorated for the portion of the year that it was owner occupied. The Homer Township Assessor’s office initiates this exemption automatically.