UPDATE: Texans are heading to the polls today to cast their votes on Proposition 13, a critical measure that could significantly impact property tax relief for homeowners. The proposition proposes to increase the homestead exemption from $100,000 to $140,000—and even higher for homeowners aged 65 and older—offering immediate financial relief.
With property values soaring across Texas, this vote is pivotal. If approved, homeowners under 65 would see their property values reduced by $140,000 in time for the 2025 tax bill. For seniors, the exemption would rise to a staggering $200,000, meaning many could potentially pay no property taxes at all.
The proposed changes come as Republican state leaders collaborate with Democrats to address skyrocketing property taxes. The impact is profound: the tax relief is projected to cost the state nearly $10 billion in general revenue. This translates to an average savings of $484 for homeowners under 65 this year, a substantial amount in the face of rising living costs.
For homeowners to qualify for the exemption, they must ensure they’ve properly registered with their county tax office as owner-occupants of their property. This designation is crucial, as only those who live in their homes can claim the homestead exemption.
Critics of the measure express concern over potential funding gaps for public schools, which rely on property tax revenues. Educators fear the tax cuts could undermine school funding without viable replacement strategies. Despite these concerns, the proposition has garnered widespread support among Texas voters, who have repeatedly emphasized the need for property tax relief.
In 2023, voters overwhelmingly approved an increase in the school-district tax exemption from $40,000 to $100,000, part of a larger $18 billion property tax package. This package included $12.7 billion in new cuts, saving homeowners an average of $700 on their property tax bills.
As the polls close, all eyes will be on the results and the potential for significant shifts in the state’s tax policy. With property taxes being a top concern for Texans, the outcome of this vote will have lasting implications for homeowners across the state.
Stay tuned for updates as the results begin to roll in, and see how this crucial proposition could reshape the financial landscape for Texas homeowners.
