You just closed — now protect your investment. This is the most important thing you can do as a new Texas homeowner.
Texas law removes the first $140,000 of your home's appraised value from school district taxes. On a $400K home, you only pay school taxes on $260K.
Your city or county may offer an additional exemption of up to 20% of your home's value (minimum $5,000). Check with your CAD.
Once your exemption is active for a full year, the CAD can never raise your taxable value more than 10% annually — even if the market spikes 30%.
Texas Driver's License or State ID with your new home address. Update this FIRST if you just moved.
Go to your county's Central Appraisal District (CAD) website and submit the homestead exemption form online, by mail, or in person. It's free.
Standard deadline is May 1 of the tax year. But since 2022, you can apply any time during the year you purchase.
Texas allows retroactive filing for up to 2 years. You could receive a refund for overpaid taxes.
If you move to a new home, you can port your frozen school tax percentage to the new property. File a "Ceiling Transfer" with your new CAD.
Update your TX Driver's License to your new address before filing.
Assume the 10% cap starts on Day 1. It kicks in Year 2.
Check your CAD status every spring to confirm your exemption is active.
Ignore market drops — you can protest your value to lower your bill.
Re-file if you refinance, create a trust, or change ownership.
Miss the May 15 protest deadline if your notice seems too high.