Texas Homestead Exemption and the HCAD Protest Calendar
The homestead exemption is the single biggest property tax break a Houston homeowner gets, and the spring protest is the second. Both are free, both are done with the county appraisal district, and this page walks through the 2026 numbers, the deadlines and what actually works at a hearing.
What the homestead exemption does
A residence homestead exemption applies to the home you own and live in as your principal residence on January 1 (or, for buyers, from the day you qualify, as explained below). It has three parts:
- $140,000 off school district taxes. Texas Tax Code Section 11.13(b) requires every school district to exempt $140,000 of a homestead's appraised value. Voters raised the figure from $100,000 in November 2025, and it applies starting with the 2025 tax year.
- A local option of up to 20 percent. Under Section 11.13(n), any taxing unit may exempt up to 20 percent of appraised value, and the exemption cannot be less than $5,000. Harris County and the other county-wide entities (Flood Control District, Harris Health and the Port of Houston) and the City of Houston use the full 20 percent. Houston ISD does not add a local percentage; its exemption is the state $140,000.
- The 10 percent appraisal cap. Once the exemption is in place, Section 23.23 limits the growth in your appraised value to 10 percent a year plus the value of new improvements, no matter how fast market values rise. The cap starts on January 1 of the year after the first year you qualify, so it does not help in your first year of ownership.
| Taxing unit (home inside the City of Houston) | 2026 rate per $100 | Homestead exemption |
|---|---|---|
| Houston ISD | $0.8421 | $140,000 of value (state), plus $60,000 and a tax ceiling for owners 65 or older or disabled |
| City of Houston | $0.5192 | 20 percent of value, plus an additional exemption for owners 65 or older or disabled |
| Harris County, Flood Control, Harris Health, Port of Houston (combined) | $0.6715 | 20 percent of value, plus additional exemptions for owners 65 or older or disabled |
| Total before community college and other small levies | $2.0328 (about 2.03 percent) |
Suburban homes are taxed by different school districts, cities and often a municipal utility district, so the rates change, but the state school exemption, the local-option rule and the cap work the same way everywhere in Texas.
Owners 65 or older or disabled
Section 11.13(c) adds a second school exemption of $60,000 for a homeowner who is 65 or older or who qualifies as disabled, raised from $10,000 by the voters in November 2025. That makes $200,000 of value exempt from school taxes. The school district also places a ceiling on the dollar amount of your school taxes in the year you qualify; the amount can only rise if you add improvements, and a percentage of the ceiling can be carried to your next Texas homestead. Harris County and the City of Houston add their own exemptions for these owners, and any taxing unit that offers one must give at least $3,000. You turn 65 during the year? You can apply as soon as you qualify, and HCAD allows up to a year from the qualifying date.
A worked example: a $450,000 Houston home in 2026
Here is the same home with and without the general homestead exemption, at the 2026 rates adopted by Houston ISD ($0.8421), the City of Houston ($0.5192) and the Harris County entities ($0.6715 combined). The community college and other small levies are left out to keep the arithmetic clear.
| Line | No exemption | With homestead exemption |
|---|---|---|
| Houston ISD at $0.8421 | $450,000 taxed: $3,789 | $310,000 taxed after $140,000 exemption: $2,611 |
| City of Houston at $0.5192 | $450,000 taxed: $2,336 | $360,000 taxed after 20 percent: $1,869 |
| Harris County entities at $0.6715 | $450,000 taxed: $3,022 | $360,000 taxed after 20 percent: $2,417 |
| Annual total | $9,148 | $6,897 |
| Monthly, as it shows up in escrow | $762 | $575 |
The exemption saves this owner about $2,250 a year, or roughly $188 a month. An owner who is 65 or older pays about $505 less in school tax on top of that ($250,000 taxed instead of $310,000), and the school tax is then frozen. The cap matters in the second year: if the market value jumps to $520,000, the appraised value can rise only to $495,000, which saves another $500 or so at these rates.
How to file, for free
You apply with the appraisal district for the county where the home sits, not with the tax office and not with the state. There is no fee. Companies that mail official-looking letters offering to file for a charge are selling a service you can do yourself in ten minutes.
- Use the state form or the district's online system. The application is Comptroller Form 50-114. Harris County owners can file it through HCAD's Electronic Filing and Notice System at owners.hcad.org or with the HCAD Info and Exemptions mobile app; HCAD's Exemption Wizard walks you through which exemptions you qualify for.
- Match your ID to the house. The Tax Code requires a Texas driver's license or state ID card showing the address of the homestead, so update the address first.
- File between January 1 and April 30 of the year after you move in. The Comptroller's deadline is before May 1. HCAD will not accept an application before January 1 for the coming year.
- Missed it? You have two years. A late application can be filed up to two years after the taxes became delinquent, and the exemption is applied retroactively.
- Bought mid-year? Since 2022, Tax Code Section 11.42(f) lets a buyer receive the exemption for the rest of the year of purchase, as soon as they qualify, if the previous owner was not already receiving it. If the seller had the exemption, it stays on the home for the year and you file your own for the next year.
Other Houston-area districts take the same form online: Fort Bend Central Appraisal District (fbcad.org/exemption-application), Montgomery Central Appraisal District (mcad-tx.org), Brazoria Central Appraisal District (brazoriacad.org) and Galveston Central Appraisal District (galvestoncad.org). HCAD mails a postcard each January to confirm you still live in the home; if it comes back undeliverable, the exemption is removed, so keep your mailing address current.
The protest calendar
| When | What happens | What you do |
|---|---|---|
| January 1 | Valuation date. HCAD appraises every property at its January 1 market value. | Note the home's condition and any damage as of this date; photos dated in January help later. |
| Mid-April | Notices of appraised value are mailed. Some owners receive theirs after April 15. | Check the market value, the appraised (capped) value and your exemptions. Pull the notice online under Property Search if it did not arrive. |
| May 15, or 30 days after your notice | Protest deadline under Tax Code Section 41.44(a)(1), whichever date is later. The later date is printed on the notice. | File online through the Electronic Filing and Notice System (iFile) with the iFile number from your notice, or mail Form 50-132 postmarked by the deadline. |
| May through July | iSettle offers, informal reviews with an appraiser and Appraisal Review Board hearings. HCAD holds Saturday hearings in June and July. | Upload evidence within five days of filing if you opted into iSettle; otherwise bring it to the hearing. |
| Late summer | ARB orders go out. You have 60 days from receiving the order to appeal to binding arbitration or district court. | Most homeowners stop here; arbitration suits larger disputes. |
| September and October | Taxing units adopt their rates for the year. | Nothing to file. The appraisal district has no role in setting rates. |
| October to January 31 | Tax bills are mailed and are due by January 31; penalties start February 1. | If your lender escrows, confirm the bill matches the lower value and ask for an escrow analysis. |
Informal review versus the ARB hearing
Filing a protest in Harris County puts you on two tracks. The first is informal. If you checked the iSettle box and entered your opinion of value, an HCAD appraiser reviews your evidence against the district's sales data and emails a decision, and you can see the comparable sales they used before you accept or reject it. Owners who file by mail or who reject the iSettle figure can still meet an appraiser informally before the formal hearing. A large share of residential protests end here.
The second track is the Appraisal Review Board, a panel of citizens who are not HCAD employees. You present your evidence, the district presents its own, and the panel sets the value. Two statutory points help homeowners. Under Tax Code Section 41.43, the appraisal district carries the burden of proving its value by a preponderance of the evidence; if it fails, the protest is decided in your favor. And under Section 41.461, you may request the data, schedules, formulas and all other information the chief appraiser plans to introduce at the hearing, at no charge, at least 14 days before the hearing. Ask for it every year.
Evidence that works
- Your closing statement if you bought within the last year or so. A recent arm's-length purchase price is the strongest evidence of market value on January 1.
- Closed comparable sales from the months around January 1: similar size, age, condition and location, adjusted for differences. A listing agent can pull these from the MLS; HCAD's own sales grid is in the evidence packet.
- Unequal appraisal. Section 41.43(b)(3) lets you win by showing your appraised value is above the median appraised value of a reasonable number of comparable properties, appropriately adjusted. This works even when your value is at or below market, because the test is fairness against the neighbors.
- Condition evidence. Dated photos, a recent inspection report, contractor estimates for the foundation, roof, plumbing or drainage, and documentation of flooding or storm damage. HCAD appraises from the street and from models; it does not know the interior.
- Lot and location negatives the mass appraisal misses: a busy street, a drainage easement, a commercial neighbor, power lines, an odd lot shape.
What does not work: arguing that taxes are too high, that you cannot afford the increase, or pointing to the tax rate. The ARB can only decide value and exemptions. Each spring we send our past clients a courtesy list of comparable sales for their own protest; ask us if you would like one.
Questions Houston homeowners ask
How much is the Texas homestead exemption in 2026?
School districts must exempt $140,000 of a homestead's appraised value, up from $100,000 after the November 2025 election. Homeowners who are 65 or older or disabled get an additional $60,000 off school taxes plus a school tax ceiling. Cities, counties and other taxing units may add a local option exemption of up to 20 percent of value, and Harris County, the other county-wide entities and the City of Houston all use the full 20 percent.
Does it cost anything to file a homestead exemption?
No. You file Comptroller Form 50-114 with your county appraisal district for free, online or by mail. Harris County owners can file through HCAD's Electronic Filing and Notice System at owners.hcad.org or with the HCAD mobile app. Companies that offer to file for a fee are charging for something that takes about ten minutes to do yourself.
When is the homestead exemption deadline, and what if I miss it?
The regular filing window is January 1 to April 30 of the year after you move in; the Comptroller's deadline is before May 1. If you miss it you can still file up to two years after the taxes became delinquent and the exemption is applied retroactively. Since 2022, a buyer who moves in mid-year can receive the exemption for the rest of that year as soon as they qualify, if the previous owner did not already have it.
How does the 10 percent homestead cap work?
Once you have a homestead exemption, Tax Code Section 23.23 limits your appraised value to last year's appraised value plus 10 percent, plus the value of any new improvements, even if the market value rose more. The cap begins on January 1 of the year after your first qualifying year, so it does not apply in your first year of ownership, and it ends when the home stops being your homestead.
When is the HCAD protest deadline?
May 15, or 30 days after the appraisal district delivered your notice of appraised value, whichever is later. Notices mail in April and the later deadline is printed on each notice. In Harris County you can file online through the Electronic Filing and Notice System with the iFile number on your notice, mail Form 50-132 postmarked by the deadline, or deliver it to HCAD at 13013 Northwest Freeway before 5 p.m.
What happens at an HCAD protest hearing?
Most Harris County protests start with iSettle, an online review in which an HCAD appraiser looks at your evidence and emails a decision you can accept or reject, or with an informal meeting with an appraiser. If you are not satisfied you present your case to an Appraisal Review Board panel of citizens, usually in June or July, and the district presents its evidence. The district has the burden of proof under Tax Code Section 41.43, and you can request its evidence packet at no charge at least 14 days before the hearing under Section 41.461.
How much does the homestead exemption save on a $450,000 Houston home?
At the 2026 rates for Houston ISD, the City of Houston and the Harris County entities, a $450,000 home inside the city pays about $9,148 a year without the exemption and about $6,897 with it, a saving of roughly $2,250 a year or $188 a month. An owner who is 65 or older saves about $505 more on school taxes and has that school tax frozen. The figures leave out the community college and other small levies.
Ask us for a protest comp list Run a payment with Houston taxes
Call or text (832) 777-3904. We speak English and Spanish.
Related guides
Sources
- Texas Comptroller, Property Tax Exemptions ($140,000 school exemption, $60,000 for 65 or older or disabled, 20 percent local option, Form 50-114, deadline) and Form 50-114.
- Texas Tax Code Section 11.13, Section 11.42(f) (mid-year buyers), Section 23.23 (10 percent cap), Section 41.44 (protest deadline), Section 41.43 (burden of proof, unequal appraisal) and Section 41.461 (evidence before the hearing).
- Harris Central Appraisal District, Property Tax Exemptions for Homeowners, Online Services, iFile and iSettle, and the May 6, 2026 protest deadline release.
- Harris County Tax Office, Jurisdiction Tax Rates (2026 adopted rates: Harris County $0.4175, Flood Control $0.05266, Harris Health $0.19528, Port of Houston $0.00603).
- Houston ISD 2026-27 rate of $0.8421 per $100 as reported by Community Impact; City of Houston 2026 rate of $0.519190 as reported by Hoodline.
- Other appraisal districts: Fort Bend CAD exemption application, Montgomery CAD, Brazoria CAD homestead exemptions, Galveston CAD homestead.
Updated October 29, 2026.