The Homestead Exemption reduces the taxable portion of your property assessment if you own your primary residence in Philadelphia. The Taxpayer Relief Act provides for property tax reduction allocations to be distributed to school districts through a "homestead or farmstead exclusion."Apply for the Philadelphia Homestead Real Estate Tax Exemption to save money on your real estate taxes. Contact the County Auditor's Office in your home county for application information and assistance. 10. My children and I have set up a trust for my home.