Texas Property Tax Protest: How to Lower Your Bill with the New $140,000 Homestead Exemption

It’s that time of year again: property tax appraisal notices are landing in mailboxes across Central Texas. If you own property in the Austin area, now is the time to act. The deadline to file a protest is May 15, or within 30 days of receiving your “Notice of Appraised Value.” Here is why this matters for your bottom line and how to handle it like a pro.

Why Protesting is Essential

If you don’t protest, you’re essentially accepting the Appraisal District’s “best guess.” These districts typically look at high-level sales data in your area and apply it across the board.

Without a protest, you might end up paying “luxury-grade” taxes on a home that is outdated or in need of repair. Protesting ensures your valuation is based on your home’s actual condition, not just your neighbor’s recent high-priced sale.

2026 Key Update: The $140,000 Homestead Exemption

If this home is your primary residence, make sure you have filed for your Homestead Exemption by April 30.

• Significant Savings: For 2026, the homestead exemption for school taxes has officially increased from $100,000 to $140,000.
• The “Double Win”: By combining this exemption with a successful protest to lower your Appraised Value, it’s common for homeowners to save $2,000-$3,000 annually.
• New 5-Year Verification: A reminder for long-term owners: starting in 2024, Texas law requires a re-verification of your homestead status every five years. Keep an eye on your mail for official audit notices to ensure your benefits aren’t interrupted.

Check Your Property Value Online

You can look up your current appraisal directly on your county’s website:

• Travis County: traviscountytax.org
• Williamson County: search.wcad.org
• Bastrop County: esearch.bastropcad.org
• Hays County: tax.co.hays.tx.us
• Caldwell County: esearch.caldwellcad.org

Deciphering Your Notice

When reviewing your statement, focus on these two figures:

1. Appraised Value: The market value assigned by the district.
2. Net Appraised Value: This is the number that matters. It is the final value used to calculate your tax bill after all exemptions are subtracted.

For investment properties, these two numbers are often the same. For primary residences, the “Value Limitation Adjustment” shows your homestead savings. Always remember: you pay taxes based on the Net Appraised Value.

How the Protest Process Works

If you believe your valuation is too high, the process generally follows these stages:

• Informal Hearing: A meeting with a district appraiser to negotiate a lower value based on your evidence.
• Formal Hearing (ARB): If no agreement is reached, you present your case to the Appraisal Review Board—an independent panel of citizens.
• Further Appeal: If the ARB result is still unsatisfactory, you can opt for binding arbitration or a judicial appeal.

While you can certainly handle the protest yourself, it helps to have professional guidance. The Texas Comptroller’s office provides an in-depth video tutorial for homeowners here: Texas Property Tax: Homeowner Protest Guide

At Real International, we recommend that all property owners make protesting an annual habit. Statistics show that while only 20% of owners actually protest, 6 out of 10 homeowners are likely overpaying their property taxes.