Have You Filed for Your Homestead Exemption?January 25, 2021
There’s good news for last year’s home buyers, including our new Grand Central Park residents. They may be eligible to lower the amount of home value they’re taxed on. How? By filing for a homestead exemption by April 30, 2021. What is a Homestead Exemption? In Texas, a homestead exemption removes a portion of the amount of your home’s value from taxation. These amounts vary depending on the exemptions you qualify for but as they automatically renew each year, you can save a substantial amount on your property tax bills. What is a Homestead? A homestead is defined by the state of Texas as a separate structure (like a single-family home) condominium or a manufactured home located on owned or leased land up to 20 acres, as long as the individual living in the home owns it. What Exemptions Are Available? Several exemptions are available:
How Much Can You Save? Your savings could be quite substantial. For example, if your home cost $200,000 and you are eligible for school tax exemption, you will only be taxed on $175,000 of your home’s value. If you are 65+, you will save an additional $10,000 bringing the amount of taxes on the value of your home down to $165,000. How Do You Qualify? To qualify, your home must be your primary residence and you must be living in your home by Jan. 1 on the year you are applying for. You must be an individual — not a corporation or other business entity. If you are age 65 or older, or disabled, the January 1 ownership and residency qualifications are not required. How Do You Apply? Complete a copy of the Application for Residential Homestead Exemption from your county appraiser’s office. When you’ve finished the application, take it to your local tax appraisal office with a copy of your driver’s license showing the address of the home. Didn’t Buy a Home This Year? An exemption is good as long as you maintain residence in your home. If you move, you have to file for a new exemption. Purchase a new home in Grand Central Park and you will be eligible to save money on your property taxes in 2022. |