Things to Know about the Residential Homestead Exemption

New Changes to an Old Law

A new law went into effect January 1, 2022. Homeowners are now eligible to secure their homestead exemption during the year in which the property was acquired. Previously, when someone purchased a home, the homeowner had to wait until January 1^st of the following year to have the benefit of the homestead exemption.

Why You Should Apply for the Homestead Exemption?

In Texas, there are a variety of tax exemptions for property owners to reduce the taxable value of the property, and one of the exemptions is homestead.

Homestead Defined

A homestead can be a separate structure, condominium, or a manufactured home located on leased or owned land, as long as the individual living in the home owns it. A homestead can include up to 20 acres, if the land is owned by the homeowner and used for a purpose related to the residential use of the homestead.

How to Qualify for the General Homestead Exemption

Property owners can now claim a homestead exemption as of the date they own and live on a property instead of waiting until the new year to be eligible.  If the property already has a homestead exemption it will stay with the property until January 1^st of the next year.  On January 2^nd, the owner will need to file an exemption application.

How to Apply for the Homestead Exemption

File an application for Residential Homestead Exemption with the county appraisal district.  Forms can be found on the county’s website.  Submit a copy of your driver’s license with the application. The address on the license must match the property address for the property for which you are requesting the homestead exemption.

For more information on the homestead exemption and the application process, please contact your local appraisal district.