4 Easy Steps To File For A Homestead Exemption

If you bought a home in the Houston area in 2015, you likely qualify for a homestead exemption, which will help you save money on your property taxes. The homestead exemption reduces the taxable value of your property. If your home is valued at $500,000 and you qualify for a $100,000 exemption, your taxes will be calculated as if the home is only worth $400,000. There are several different exemptions available which you may qualify for such as:

• County Taxes – for all homeowners in Harris County, a 20% optional homestead exemption is placed on the value of the home.
• School Taxes – for all homeowners in Harris County that qualify for the homestead exemption, a minimum of a $15,000 exemption will be placed on the value of your home for school district taxes.
• Optional Exemptions – other taxing units such as school districts, cities, counties or special districts may offer an exemption of up to 20%. It is up to the governing body of each taxing unit to decide if the exemption will be offered and at what percent.

You must apply for the homestead exemption between January 1st and April 30th to be eligible. To do so, follow the below steps.

1. Register Your Purchase With Your Appraisal District. Typically, your purchase and the transfer of ownership is recording with the county by the title company that facilitated the transaction. You shouldn’t need to do anything, really. To check records in Harris County, visit www.hcad.org.
2. Update Your Texas Driver License. The address on your Texas Driver License must match the address of the dwelling you are claiming as your homestead. You can do that at any Texas DMV or online for $11 at https://www.txdps.state.tx.us/DriverLicense/. If you choose online, you will be issued a temporary Driver License to print and a permanent license will be mailed to you.
3. Update Your Vehicle Registration. Changing the address on your vehicle registration is easy, free and ensures your registration renewal will get to you! You can do it online here: https://rts.texasonline.state.tx.us/NASApp/txdotrts/AddressChangeServlet.
4. Complete The Application Form. You can find the application form at your county appraisal district office or their website. You’ll simply print the form, fill it out completely, have it notarized (if also filling out an affidavit) and return to the appraisal district in the county your property is located.
   • Harris County Application
   • Montgomery County Application

   In addition to reducing your taxable value, the homestead exemption also comes with a homestead cap. The homestead cap limits increases in appraised value of your home. This is very beneficial in appreciating markets and goes into effect beginning the second year you have a homestead exemption.