Texas has no state income tax, so schools and cities lean on property taxes — and Texans pay some of the highest in the country. That is why the newest round of cuts matters to millions of homeowners.
What changed
In November 2025, Texas voters approved constitutional amendments that made the homestead exemption bigger. The exemption is the slice of your home's value that school taxes simply skip:
- All homeowners: the exemption rose from $100,000 to $140,000.
- Homeowners 65 and older, or with a disability: the total rose to about $200,000.
Example: if your house is worth $300,000, school tax now applies to only $160,000 of it. The exemption applies to your main home — the one you live in — not rental or vacation property.
More cuts are being promised
With the 2026 election season on, Texas leaders are already talking about the next round. Lt. Gov. Dan Patrick wants to let homeowners freeze their taxable value at age 55 instead of 65 — a plan he says would touch about 3.3 million homeowners and save close to $10,000 each over ten years. Gov. Greg Abbott has floated ending school property taxes entirely, which would need another constitutional amendment. Since 2019, the state has spent $51 billion on property tax relief.
What this means for you
- Make sure your homestead exemption is actually filed. It is free — check with your county appraisal district. If you were charged for filing, that was a scam.
- Turning 65? Tell your appraisal district — the bigger senior exemption and the tax ceiling are not always automatic.
- Think your home's assessed value is too high? You can protest it every spring, for free.
Buying in Texas? Property tax is a big part of the monthly cost — include it when you run Home Affordability or Rent or Buy.
Where these facts come from: Texas Standard — property tax cuts and the 2026 election. Facts checked July 2026. Numbers can change after publication.