What You Need to Know About Property Taxes and the Homestead Exemption in Texas

By:  Darian Rausch, REALTOR®
Urban to Suburban Realty Team

The most important thing about filing your homestead exemption with the county appraisal district is that it is FREE.  Many times, after you purchase your home, the new homeowner will begin to receive advertisements from companies asking to file their homestead exemptions on the homeowner’s behalf.  This completely unnecessary as the application process is simple and free.   To assist you with the process, we’ve provided a few details below.  

How Are Property Taxes Calculated

The Appraisal

A property’s appraised value is determined annually by the county appraisal district, also referred to as the “CAD”.

 


The Math

Appraised Value
X Tax Rate
Divided by 100
$ Property Tax Owed

 

What Is It

All homeowners are given a $25,000 exemption from their home’s value for taxations purposes.

 

 

How it Works

For example, if your home is appraised at $200,000 then you will pay taxes as if it were worth only $175,000

 

 

 

 

Qualifications for Claiming a General Homestead Exemption

 

  • Have owned the property as of January 1st of the tax year
  • Be an individual person (i.e., not a corporation or business entity).
  • Use the property as their primary place of residence
  • Not be claiming a homestead exemption on another property

 

Applying for a Homestead Exemption

  1. Got o you CAD’s website and submit your homestead exemption application online, Travis, Hays and Williamson Counties all accept online applications.

    • Travis County:  traviscad.org
    • Hays County:  forms.hayscad.com
    • Williamson County:  wcad.org

     

  2. You are required to submit a copy of your Texas driver’s license or ID card with your application, showing that your home address matches the property address.

  3. Applications must be submitted on or before April 30th of the year for which the exemption is requested.

  4. Once you receive the exemption, you do not need to submit the application again.  There is no need to reapply unless the chief appraiser requests it.

 

Other Exemptions You May Qualify For

You may be eligible for additional exemptions, based on the criteria such as age, disability or veteran status.  For more information, please go to the Texas Comptroller’s website:  comptroller.texas.gov

 

This content is not the product of the National Association of REALTORS®, and may not reflect NAR's viewpoint or position on these topics and NAR does not verify the accuracy of the content.