Luxury Property Taxes: 5 Ways to Lower Your Bill
Don't just pay the assessment. Learn the strategies savvy investors use to mitigate liability and preserve wealth in 2026.
Owning a luxury property in Westminster or the surrounding Colorado area is a testament to financial success. However, high asset value often brings high tax liability. The difference between a savvy investor and a standard homeowner often comes down to one thing: Tax Strategy.
Note: This guide is for informational purposes. Always consult a CPA or tax professional.
1. The "Appeal" Strategy
Challenge the Assessment
Assessors often get it wrong, especially with custom luxury homes where "comps" are hard to find. If your home has unique limitations (e.g., steep topography, easements) that the assessor missed, you may be overpaying.
Pro Tip: Check if the assessor counted below-grade square footage as above-grade. This is a common error in Colorado.
2. The Colorado Senior Homestead Exemption
50% Reduction on First $200k
For qualifying seniors (aged 65+ who have owned their home for 10+ years), Colorado offers the Senior Property Tax Exemption. This allows 50% of the first $200,000 of actual value to be exempted from property tax.
3. The 1031 Exchange (For Investors)
Defer Capital Gains
If your luxury property is an investment (not a primary residence), you can utilize a 1031 Exchange to sell the property and reinvest the proceeds into a "like-kind" property, deferring capital gains taxes. This is a powerful tool for upgrading your portfolio without an immediate tax hit.
4. Conservation Easements
Preserve Land, Lower Taxes
If you own significant acreage in Adams or Jefferson County, placing a conservation easement on the land (restricting future development) can lead to substantial charitable contribution deductions and lower property valuations.
5. Understanding Mill Levies
Not all neighborhoods are taxed equally. "Mill Levies" vary significantly by district. A luxury home in an area with a new Metro District bond will have higher taxes than a similar home in an established historic district.
The Jen Stuckey Advantage: We analyze the specific Tax Certificate of every home before you write an offer, ensuring there are no surprises.
Partner with a Strategic Realtor
Jennifer Stuckey doesn't just find you a home; she helps you understand the asset. From tax history to resale value, get the full picture.
