What is the Texas Homestead Exemption? The Texas homestead exemption reduces your property taxes by exempting up to $100,000 of your home's appraised value from school district taxes. For a home valued at $400,000, this exemption saves approximately $1,200-1,400 annually depending on your school district's tax rate.
Beyond the immediate tax savings, the homestead exemption unlocks additional protections: a 10% annual cap on appraised value increases and potential tax freezes for homeowners over 65 or with qualifying disabilities.
Quick Facts: Texas Homestead Exemption Savings: Up to $100,000 exemption from school taxes Application form: Form 50-114 Deadline: April 30, 2026 for 2026 tax year Cost: Free to apply Processing time: 30-60 days Additional benefit: 10% annual appraisal increase cap Who Qualifies for Texas Homestead Exemption?