What changed: Proposition 13 and Proposition 11
Two constitutional amendments on the November 2025 ballot directly increased the homestead exemptions that Texas homeowners receive on their school district property taxes. Both passed with wide margins and took effect on January 1, 2026.
Proposition 13: General homestead exemption raised to $140,000
Prop 13 increased the general residence homestead exemption for school district taxes from $100,000 to $140,000. This applies to every homesteaded property in Texas, regardless of the owner's age or disability status.
This continues the trajectory from 2023, when Proposition 4 (HB 1) raised the exemption from $40,000 to $100,000 as part of a broader property tax relief package. Before 2023, the exemption had been $25,000 for years before a bump to $40,000 in 2022.
Proposition 11: Senior/disabled exemption raised to $60,000
Prop 11 increased the additional homestead exemption for homeowners age 65 or older, or disabled, from $10,000 to $60,000 for school district taxes. This is on top of the general $140,000 exemption, giving seniors and disabled homeowners a combined $200,000 in school district exemptions.
The $10,000 additional exemption for seniors had not been increased since 1997. It was nearly three decades overdue for an adjustment.
How school district homestead exemptions work
School district taxes are typically the largest portion of your property tax bill, accounting for 40% to 55% of total taxes depending on where you live. The homestead exemption removes a flat dollar amount from your appraised value before your school taxes are calculated.
Example: How the $140,000 exemption works
Suppose your home is appraised at $350,000 and your school district tax rate is $1.05 per $100 of assessed value.
Without exemption: $350,000 × $1.05 / $100 = $3,675 in school taxes
With $140,000 exemption: ($350,000 − $140,000) × $1.05 / $100 = $2,205 in school taxes
Savings: $1,470 per year in school taxes alone
For seniors/disabled: $200,000 combined exemption
Using the same $350,000 home and $1.05 rate:
With $200,000 combined exemption: ($350,000 − $200,000) × $1.05 / $100 = $1,575 in school taxes
Savings: $2,100 per year in school taxes alone
This is separate from the 10% homestead cap. The homestead cap (Section 23.23) limits how much your assessed value can increase each year — no more than 10% above the prior year's assessed value. The exemption is a flat dollar reduction applied after the cap. They work independently and both benefit you. For a deeper look at how the cap interacts with your appraised value, see our cap-gap explainer.
How much you will save: The numbers
The actual dollar savings depend on your local school district tax rate. The average across Texas is approximately $1.05 per $100 of assessed value, but rates vary by district. Here are the savings at that average rate.
General Exemption (2026)
$140,000
up from $100,000
Senior/Disabled Add-On
$60,000
up from $10,000
Senior/Disabled Combined
$200,000
up from $110,000
Total School Tax Savings
~$1,470/yr
at average rate
Incremental Savings
~$420/yr
from $100K → $140K
Senior Incremental Savings
~$945/yr
from $110K → $200K
Breaking down the incremental savings
If you already had a homestead exemption in 2025, you were receiving the $100,000 general exemption. The new $140,000 exemption means an additional $40,000 is removed from your taxable value for school district purposes.
General homeowner incremental savings: $40,000 × $1.05 / $100 = ~$420 per year
Senior/disabled incremental savings: Old combined was $110,000 ($100K + $10K). New combined is $200,000 ($140K + $60K). That is $90,000 more exempted. $90,000 × $1.05 / $100 = ~$945 per year
Your school district rate may differ
Some school districts have rates as low as $0.85 per $100 and others above $1.20 per $100. Check your most recent tax statement or your county appraisal district website for your exact school district rate. Multiply the exemption amount by your rate divided by $100 to get your precise savings.
Already have your exemption? Check if you are over-assessed.
The homestead exemption saves you money on school taxes. A property tax protest saves you money on all taxes. Do both. Enter your address to see if your appraisal is above your neighbors.
Check Your Property FreeWhat you need to do
Whether you need to take any action depends on your current exemption status. Here are the four scenarios.
You already have a homestead exemption on file
Do nothing. The increase from $100,000 to $140,000 applies automatically. Your county appraisal district will use the new exemption amount when calculating your 2026 school district taxes. You do not need to re-file or update anything.
You are 65+ or disabled with your exemptions on file
Do nothing. Both the general increase to $140,000 and the senior/disabled increase to $60,000 apply automatically. Your combined $200,000 school district exemption will be reflected in your 2026 tax calculations.
You do NOT have a homestead exemption yet
File one now. Without an exemption on file, you are paying school district taxes on the full appraised value of your home. On a $350,000 home, that means you are paying $1,470 more per year than your neighbors who have it. There is no reason not to file — it is free and takes 15 minutes.
You recently turned 65
File the over-65 additional exemption with your county appraisal district. Even if you already have a general homestead exemption, the additional $60,000 exemption for seniors is a separate filing. Contact your county appraisal district or file Form 50-114 with the over-65 box checked.
How to file a homestead exemption
If you do not have a homestead exemption on file — or need to add the over-65 or disabled exemption — here is how to file.
Get Form 50-114
This is the Application for Residence Homestead Exemption. It is available on the Texas Comptroller's website at comptroller.texas.gov or directly from your county appraisal district's website. Most county appraisal districts also offer online filing through their portal.
Gather your documentation
You will need a copy of your Texas driver's license or state ID showing the property address as your primary residence. If the address on your ID does not match the property, you will need to update it with DPS first or provide alternative proof of residency such as utility bills.
Select the exemptions you qualify for
Form 50-114 covers the general homestead exemption, over-65 exemption, disabled person exemption, disabled veteran exemption, and surviving spouse exemptions. Check every box that applies to your situation. Each exemption type is applied independently.
Submit to your county appraisal district
File online through your county appraisal district's website, mail the completed form, or deliver it in person. The filing window runs from January 1 through April 30 for the current tax year. If you missed the deadline, you can file a late application for up to two years retroactively.
Late filing is allowed. If you bought your home in 2024 and never filed a homestead exemption, you can file now and receive the exemption retroactively for 2025 and 2026. Texas Tax Code Section 11.431 allows late filing up to two years after the delinquency date. You may be entitled to a refund of overpaid taxes for the prior year.
Homestead exemption vs. property tax protest: Do both
A common question is whether the homestead exemption replaces the need to protest your property taxes. The answer is no. They are completely separate mechanisms, and you should take advantage of both.
Homestead Exemption
- Reduces the value used to calculate school district taxes only
- Fixed dollar reduction ($140,000 general)
- Applied automatically once filed
- Does not change your appraised value
- File once, keep forever (unless you move)
Property Tax Protest
- Reduces your appraised value, lowering all property taxes
- Reduction varies based on your evidence
- Must be filed each year
- Affects school, county, city, and special district taxes
- Requires evidence of over-assessment
The two savings stack. A lower appraised value from a successful protest combined with the $140,000 exemption on school taxes gives you maximum savings. Even if your home has a large cap-gap — where your assessed value is already well below your appraised value due to the 10% cap — the homestead exemption still helps because it directly reduces your assessed value for school tax calculations.
Not sure whether protesting is worth it for your situation? Use our decision framework to evaluate your property, or read the complete Texas property tax protest guide for a full walkthrough of the process.
Timeline: How the homestead exemption got here
The recent increases are part of a broader trend of the Texas Legislature using homestead exemptions as the primary tool for property tax relief. Here is how the general school district exemption has changed.
Before 2022: $25,000
The general homestead exemption for school district taxes was $25,000 for many years. For a home appraised at $300,000, this saved about $263 per year in school taxes — meaningful, but not substantial.
2022: $40,000
The exemption was raised to $40,000 as property values surged across Texas. This increased savings to about $420 per year.
2023: $100,000 (Proposition 4 / HB 1)
The largest single increase in Texas history at the time. Part of a $18 billion property tax relief package that also included school district tax rate compression. Savings jumped to about $1,050 per year.
2026: $140,000 (Proposition 13)
The current exemption. Savings of about $1,470 per year for all homesteaded properties. The additional senior/disabled exemption also jumped from $10,000 to $60,000 under Proposition 11.
Bottom line: File your exemption, then protest your value
The 2026 homestead exemption increases are automatic for anyone who already has an exemption on file. If that is you, you will see the savings reflected in your 2026 tax bill without lifting a finger. The incremental savings from the $100,000 to $140,000 increase is approximately $420 per year. For seniors and disabled homeowners, the jump from $110,000 combined to $200,000 combined saves roughly $945 per year more.
If you do not have a homestead exemption on file, stop reading and go file one. It takes 15 minutes and saves you $1,470 or more per year in school taxes. There is no downside and no cost.
Once your exemption is in place, turn your attention to your appraised value. The exemption handles school taxes. A property tax protest handles everything else. Do both, and you will be paying the lowest property taxes your home legitimately qualifies for.