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El Paso County Property Tax Guide for Retirees

Verified against El Paso County Assessor and Colorado Legislature sources · 2025

El Paso County’s effective property tax rate of roughly 0.43%–0.47% is one of the lowest of any major U.S. metro — less than half the national median of 1.02%. For retirees moving from high-tax states, this can represent $5,000–$15,000 in annual savings on the same home value.

How Colorado Property Tax Is Calculated

Colorado uses a two-step formula. First, El Paso County Assessor determines your property’s actual (market) value. Then:

  1. Subtract the statewide $55,000 reduction from actual value
  2. Multiply the remainder by the 2025 residential assessment rate of 6.25%
  3. Multiply the result by the total mill levy for your specific location

Example on a $600,000 home: ($600,000 − $55,000) × 6.25% = $34,063 assessed value. At an average total mill levy producing ~0.47% effective rate, annual tax ≈ $2,820.

Real Numbers by Community

CommunityTypical PriceEst. Annual TaxAfter Senior ExemptionMonthly
The Retreat (new construction)$592K avg~$2,782~$2,317~$193
Village of Cortona$650K~$3,055~$2,590~$216
Elan$933K~$4,385~$3,920~$327
La Scala (est.)$500K~$2,350~$1,885~$157
National median comparison$592K~$6,038~$503

Estimates use 6.25% assessment rate, $55K value reduction, ~0.47% effective rate. Metro district overlays at Banning Lewis Ranch may increase the actual bill. Always verify the total mill levy with El Paso County Assessor at assessor.elpasoco.com.

Senior Homestead Exemption

Qualifying Colorado homeowners 65 and older who have owned and occupied their primary residence for at least 10 consecutive years receive a property tax exemption on 50% of the first $200,000 of actual value. The State of Colorado pays the taxes on the exempted value — it is a genuine reduction in your bill, not a deferral.

RequirementDetails
Age65 or older as of January 1 of application year
Ownership10 consecutive years of ownership AND occupancy as primary residence
2025 ChangeColorado now allows portability for in-state moves: if you moved within Colorado between Jan 1, 2020 and Dec 31, 2024, you may still qualify. Previously, any move forfeited the exemption.
ApplicationFile with El Paso County Assessor; once approved, remains in effect unless a disqualifying event occurs
Tax Savings (example)50% of first $200K = $100K exempt; at ~0.47% effective rate = ~$470/year saved

VA Disability Exemption

Veterans with a 100% permanent disability rating from the Department of Veterans Affairs pay zero property tax on their primary residence in Colorado. Veterans with “unemployability status” as determined by the VA now also qualify following a 2024 ballot measure. This applies at Peterson SFB, Schriever SFB, and Fort Carson retirement communities equally. File an application with El Paso County Assessor; Veterans Affairs confirms eligibility.

Metro District Warning

Many newer Colorado communities — including Banning Lewis Ranch (The Retreat) — overlay a Metropolitan District on top of the base El Paso County tax. Metro district fees fund infrastructure (roads, utilities, parks) and appear as an additional mill levy on your tax bill. The effective rate you’ll actually pay at The Retreat is higher than El Paso County’s base ~0.47%. Ask the builder for the total mill levy breakdown before buying. The county assessor’s office can also confirm which taxing districts apply to a specific parcel.

Comparison to High-Tax States

StateTypical Effective RateTax on $600K Homevs. El Paso Co
New Jersey~2.0%~$12,000/yrYou save ~$9,180
Illinois~2.1%~$12,600/yrYou save ~$9,780
Texas~1.6%~$9,600/yrYou save ~$6,780
Florida~0.83%~$4,980/yrYou save ~$2,160
El Paso County CO~0.47%~$2,820/yr

Ready to run the math for your situation?

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