Do you live in a historic home? Is it in a Historic District and are you thinking of selling it? Are you looking to purchase an older, unique historic home with some character? I love historic homes! I have a lot of experience with them personally. I lived in and renovated one over the course of 15 years that was located in the St. Johns Church Historic District of Church Hill. I have experience applying for and getting State Tax Credits for Historic Homes through the Department of Historic Resources (DHR). These are Tax Credits that can be used to help offset the extra cost of repairs to a historic property and can be used to pay your Virginia State Income Taxes. If the property can be used for commercial purposes or may have rental income, the property may be eligible for Federal Tax Credits as well so this can provide additional savings for the renovation. These tax credits require an application as well as approval from DHR, but can mean a significant savings on your renovation as long as you stay withing the approved guidelines.
There is also something called Tax Abatement that may be available through your municipality. Both the City of Richmond, as well as Petersburg offer tax abatement for homes in certain areas to encourage homeowners to renovate and improve the local property values. This tax abatement may even be transferable to the next owner, so it is definitely something worth investigating before you start your next big renovation. This may make your property even more appealing if the taxes for your home are lower than the home next door.
These are all things to consider when buying or selling a property in a Historic District. You want to have a Realtor in your corner who understands these processes to help you get started for yourself.