The Texas homestead exemption

Updated October 27, 2026

A home you own and live in as your main residence qualifies for the Texas residence homestead exemption. It lowers your school taxes right away and caps how fast your taxable value can rise. It isn't automatic: you have to apply.

How much it saves

• School districts: $140,000 of the home's value is exempt from school district taxes (Tax Code section 11.13(b)).
• 65 or older, or disabled: an additional $60,000 school district exemption (section 11.13(c)), and the school tax is frozen at the level of the year you qualify.
• Optional exemptions: counties, cities and special districts may exempt up to 20% of value, and some add more for 65 and older or disabled owners. Your appraisal district lists which apply.

Example: with a school district rate of $1.00 per $100, the $140,000 exemption saves $1,400 a year in school taxes.

The 10% cap

From the year after your home first qualifies, its taxable value can't rise more than 10% a year (plus new improvements) under Tax Code section 23.23, even if the appraised market value rises faster. When you buy a home, the seller's cap doesn't carry over: expect the value to reset to market.

How to apply

1. Move in. The home must be your principal residence.
2. File form 50-114 with your county appraisal district (most accept it online), with a copy of your Texas driver's license or ID showing the home's address.
3. File before May 1. If you miss it, you can file late for up to two years after the taxes are delinquent.

The Comptroller notes that a buyer who acquires a home after January 1 may get the exemption for the applicable portion of that tax year, if the previous owner didn't already receive it.

For buyers

• A listing's tax bill reflects the seller's exemptions. Your first full-year bill can be higher. Ask for the taxes with and without exemptions.
• A HouseDirt report shows the gap between the seller's tax bill and what a new owner can expect, using each taxing unit's rate and homestead rules.

Check a Texas home

HouseDirt looks this up for a specific address from official records and tells you what to ask.

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Common questions

How much is the Texas homestead exemption?

School districts must exempt $140,000 of a residence homestead's value from school taxes. Owners 65 or older or disabled get an additional $60,000. Counties, cities and special districts may offer their own optional exemptions.

When do I apply for a homestead exemption in Texas?

Apply to your county appraisal district after you own and live in the home. The general deadline is before May 1, and a late application can be filed for up to two years after the taxes become delinquent.

Can I get the homestead exemption the year I buy?

Yes, in many cases. The Texas Comptroller says a buyer who acquires a home after January 1 may receive the exemption for the applicable portion of that year, if the previous owner didn't already receive it.

What is the 10% homestead cap?

Once a home qualifies as a homestead, its taxable value can't rise more than 10% a year (plus new improvements), even if the market value rises faster. The cap starts the year after the home first qualifies.

Sources

• Texas Comptroller, property tax exemptions
• Texas Comptroller, residence homestead exemption FAQ
• Texas Tax Code, section 11.13 (residence homestead)
• Texas Tax Code, section 23.23 (homestead appraisal limit)
• Form 50-114, Residence Homestead Exemption Application

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