Texas homestead exemption: how to file after you buy a home

If you just closed on a home in Round Rock, Austin, or anywhere in Texas, one of the best things you can do next costs nothing: file for your residence homestead exemption. It lowers the taxable value of your home, but your appraisal district doesn't add it automatically. You have to apply.

What is the Texas homestead exemption?

A homestead exemption removes part of your home's value before property taxes are calculated. According to the Texas Comptroller, every school district must exempt **$140,000** of a homestead's value from school taxes. Homeowners who are 65 or older, or disabled, get an additional **$60,000** school district exemption. Cities, counties, and other taxing units may offer their own optional exemptions on top of that.

How much you save depends on your home's value and your local tax rates. For a sense of scale, the Travis Central Appraisal District reported that in 2025 a homestead exemption saved the average Travis County property owner $3,663 on their tax bill. Your number will be different.

Who qualifies?

According to the Texas Comptroller, you generally qualify if:

• You own the home
• It's your principal residence (where you actually live)
• You don't claim a homestead exemption on any other home, in Texas or anywhere else

Rentals and second homes don't qualify. Your appraisal district makes the final call on eligibility.

Bought your home partway through the year?

You don't have to wait. The Comptroller explains that if you buy after January 1, you can receive the exemption for the part of the year you owned the home, as long as the previous owner didn't already receive it for that year.

How to file

1. **Update your driver's license or Texas ID first.** Your application needs a copy of a Texas driver's license or ID card showing the address of the home you're claiming. The Williamson Central Appraisal District says the address "MUST match" the property. Update your address with the Texas DPS before you apply. 2. **Find your appraisal district.** You file with your county's appraisal district, not the state. In Central Texas that's often the Travis Central Appraisal District or the Williamson Central Appraisal District. 3. **Fill out Form 50-114**, the Residence Homestead Exemption Application. Many districts, including Williamson, let you apply online by looking up your property. 4. **Keep an eye on your mail and email.** Appraisal districts sometimes ask for more information or verify existing exemptions. Respond to any notice they send.

Deadlines

The Texas Comptroller says the general deadline to file is **before May 1**. If you miss it, don't give up: the Williamson Central Appraisal District notes that late applications may be filed up to two years after the delinquency date for that tax year.

It's free, so don't pay for help

Filing a homestead exemption costs nothing. You may get official-looking letters offering to file for a fee. The Travis Central Appraisal District says homeowners "should never pay someone" to help with these forms; their staff will help you for free.

The 10% cap: a second benefit

Once your home has a homestead exemption, its taxable appraised value generally can't rise more than 10% from one year to the next. According to the Williamson Central Appraisal District, the cap begins in the second year you have the exemption, and if your exemption was prorated, it applies after the exemption has been in place for a full year.

Quick answers

**Do I need to file if I bought with a mortgage?** Yes. Your lender doesn't file it for you, even if your taxes are paid through escrow. A lower tax bill can lower your escrow payment over time.

**Can I claim two homesteads?** No. You can only claim one principal residence.

**What if my license still shows my old address?** Update it with the DPS first. Your application generally won't be approved until the address matches.

*This article is general information, not tax or legal advice. Exemption amounts and rules are set by Texas law and can change, and your appraisal district decides whether your property qualifies. Confirm the details with your appraisal district or a tax professional.*

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