Attention: Before filling out form, download and save to your computer. All persons seeking homestead exemption must complete an original application (Form DR-501).The application must be signed and filed in person. The homestead can't exceed one acre in a city or 160 acres in a rural area. Property tax exemptions and deferrals. Note: These programs are only available to individuals whose primary residence is located in the State of Washington. Note: These programs are only available to individuals whose primary residence is located in the State of Washington. Want to know what the homestead exemption is all about? What benefits do you get as a homeowner when you apply the homestead exemption? Proof of ownership of your property in the form of a copy of a tax bill or your deed.