hampton_rehab_form Revised 11/01/16 Page 1 of 2
City of Hampton
Rehabilitation Tax Credit Application
Office of the Assessor of Real Estate
APPLICATION
Any person wishing to claim the rehabilitation tax exemption must first complete a Rehabilitation Tax Credit Application
and submit it to the Office of the Assessor of Real Estate. The application must be filed within five (5) working days after
the building permits have been issued and prior to any renovations being started: The Office of the Assessor of Real
Estate may extend the filing date and fee up to twenty-four (24) months for commercial and industrial structures if good
cause is shown. Only one (1) application per structure can be approved. If multiple structures are to be renovated on a
property it will require additional applications. Each application requires the appropriate fee and applicants must submit the
application(s) in person and sign the application(s) under oath.
ELIGIBILITY AND QUALIFICATIONS
Residential Structures
1. Structure at least twenty-five (25) years old
2. Must increase structure value by at least
forty (40) percent
3. Cannot increase total square footage by
more than fifteen (15) percent
4. All renovations must be completed within
twelve (12) months from being approved
5. Non-refundable fee of fifty dollars ($50.00)
Commercial/Industrial Structures
1. Structure at least twenty-five (25) years old [At least fifteen
(15) years old if in city’s designated enterprise zone]
2. Must increase structure value by at least sixty (60) percent
3. Cannot increase total square footage by more than twenty-
five (25) percent
4. All renovations must be completed within twenty-four (24)
months from being approved
5. Non-refundable fee of one-hundred dollars ($100.00)
It is a requirement that building permits be issued prior to the beginning of the new alterations. All taxes and assessments
due to the City of Hampton must be current prior to the approval of the exemption. The determination of the Office of the
Assessor of Real Estate of “eligible” properties is final and not subject to appeal.
AMOUNT AND DURATION OF EXEMPTION
The amount of the tax exemption will be equal to the increase in assessed improvement value resulting from the
rehabilitation of the structure, as determined by the Office of the Assessor of Real Estate. Only the amount of the increase
of improvement value is the basis for the exemption. The exemption commences July 1st of the tax year immediately
following completion of rehabilitation. For example, if the initial value of the qualified structure was $100,000 and the
improvements increased the assessed value of the structure to $160,000, then the exemption would be based on $60,000.
An exemption shall run with the property for a period of six (6) years. For the first three year period, the amount will be
equal to 100% of the initial increased assessed value of the structure. For the subsequent three (3) year period, the
amount will be equal to fifty percent (50%) of the initial increase in assessed value of the structure.
VERIFICATION AND CERTIFICATION OF REHABILITATION
When renovations are completed, the property owner, or his agent, must notify the Office of the Assessor of Real Estate.
When notified of the completion, the Office of the Assessor of Real Estate will verify whether all the requirements for the
exemption have been met. The property must at all times be in full compliance with all of Hampton’s Codes including,
without limitation, the Building Code, the Housing Code, the Zoning Ordinance, and any and all regulations which affect or
control the occupancy, use and management of the property. Should the Director of Codes Compliance determine the
property is substantially out of compliance with applicable City ordinances, he or she will give written notice of the
violation(s). The applicant will have thirty (30) days to correct the violation(s) and if not corrected within the timeframe, the
Office of the Assessor of Real Estate will provide written notice to revoke any tax abatement provided to the applicant.
The determination of “eligible” properties by the Office of the Assessor of Real Estate is final and not subject to appeal.
QUESTIONS OR ADDITIONAL INFORMATION
If you have any questions concerning the Rehabilitation Tax Exemption Application or the application process, please visit
www.hampton.gov/assessor or call the Office of the Assessor of Real Estate at (757) 727-8311.
