The homestead exemp- tion provides a reduction in property taxes to qualified senior or disabled citizens, or a surviving spouse, on the dwelling that is that. The tax exemption is limited to the homestead, which Ohio law defines as an owner's dwelling and up to one acre of land.The Homestead Exemption is a form of property tax relief that results in a reduction in real estate taxes for those who qualify. Regarding a Homestead. Homeowners in the Buckeye State pay property tax rates that are higher than the national average but lower than those of several other Midwestern states. Official website of the City of Philadelphia, includes information on municipal services, permits, licenses, and records for citizens and businesses.