Homesteading is a way to save money on your property taxes. Most states allow you to use one residence as your homestead or primary place of residence. You are required to file specific paperwork with your County Tax Assessor which provides information required to claim this homestead exemption. This will reduce the value of your home by a certain dollar amount or percentage for some jurisdictions you are paying taxes to which will result in reducing your tax burden. This needs only to be filed once in most states.