Texas Lawmakers Push Forward Major Property Tax Relief for Homeowners

If you’re a Texas homeowner, some big news may be coming your way. On May 20, the Texas House advanced a series of property tax relief bills that could lower your annual tax bill by hundreds of dollars—and for some seniors and homeowners with disabilities, nearly $950 in savings may be on the horizon.

Here’s what you need to know about the upcoming changes and how they could affect homeowners in Buda, Kyle, and beyond.

📉 What’s Included in the Property Tax Relief Package?

The House approved two major bills—Senate Bill 4 and Senate Bill 23—that focus on expanding homestead exemptions for Texans:

• SB 4 raises the statewide homestead exemption from $100,000 to $140,000 for all homeowners.
   
• SB 23 offers a $200,000 exemption to Texans who are 65+ or living with a disability.
   

These exemptions apply specifically to public school taxes, which typically make up the largest portion of a homeowner’s property tax bill.

According to legislators, the average homeowner could save about $500 per year, while qualifying seniors or disabled homeowners could see savings closer to $950 annually.

🗳️ What Happens Next?

Each of the property tax relief bills includes a constitutional amendment, which means Texas voters will have the final say. These measures will appear on the November 2025 ballot. If approved by voters, the changes could take effect in time for the 2026 tax year.

For school districts, the state has pledged to hold them harmless—ensuring they receive the same level of funding despite the reduced tax revenue from homeowners.

🤔 What Does This Mean for Homeowners?

This package is great news for current and prospective homeowners across Texas. With the continued increase in home values, many residents have seen their tax bills climb year after year. These changes could offer a much-needed reprieve—and possibly make homeownership more accessible to new buyers.

But remember: property taxes are still administered by local governments, and these state-level efforts only affect a portion of the total bill. That’s why it’s crucial to:

• Stay informed about your local appraisal values
   
• Protest your property taxes when appropriate
   
• Work with a real estate professional who understands how taxes affect your bottom line
   

💬 Let’s Talk Real Estate & Property Taxes

As a broker, I know that property taxes are one of the biggest pain points for homeowners and buyers alike. Whether you’re thinking about buying, selling, or just want to better understand how these tax changes could impact you, I’m here to help.

Together, we can review your current home value, explore your exemption eligibility, and discuss smart ways to manage your investment.

👋 About Karlyn Ellis

Karlyn Ellis is a seasoned real estate broker with over 20 years of experience, proudly serving Buda, Kyle, and the surrounding Central Texas communities. As co-founder of Prosper Properties, she provides personalized guidance and expert insight to every client, whether they’re buying, selling, or planning for the future.

Looking for help navigating your property taxes or exploring your home’s value? Reach out today!

📍 prosperproperties.com