Downsizing
What Happens to Property Taxes When You Downsize in Texas?
Texas offers exemptions that matter a great deal to homeowners over 65 — and some of them can move with you.
Texas property tax rules include provisions that are especially relevant to homeowners over 65, including the homestead exemption, an additional over-65 exemption and a school tax ceiling on a qualifying homestead. In certain circumstances a percentage of that ceiling benefit can transfer to a new homestead in Texas.
Questions worth asking before you move
- What exemptions are currently applied to your home?
- How would a transfer work for the property you're considering?
- What are the tax rates in the county, city and school district you're moving to?
- How does the new appraisal district handle applications and deadlines?
Important
Rules, rates and deadlines change and vary by taxing entity. Fred is not a tax advisor. Confirm everything with the relevant county appraisal district and your CPA before relying on it in your planning — but do it early, because it can meaningfully change which properties make sense.
This article is general education, not legal, tax, insurance, financial or engineering advice. Please confirm details with qualified professionals and the appropriate local authorities before making a decision.