Just Bought a Home in Austin? How to File Your Texas Homestead Exemption
File with your county appraisal district as soon as you own and live in the home and your Texas driver’s license shows the new address. You don’t have to wait until January 1. That’s the Travis Central Appraisal District (TCAD) in Travis County and the Williamson Central Appraisal District (WCAD) in Williamson County. Filing is free, and you don’t reapply each year.
- What it does: school districts must exempt $140,000 of your home’s value, and local taxing units can add up to 20% more.
- Timing: the regular deadline is April 30. If the seller didn’t claim the exemption for the year you bought, you may get a prorated exemption for that year.
- Your payment: once the exemption shows on your tax bill, ask your mortgage servicer to update your escrow.
Reviewed by Dustin Edwards, Principal, NMLS 577050 | Last updated October 19, 2026
I’ve worked in mortgage lending for 22 years. If you just bought a home, filing your homestead exemption is an important step. The appraisal districts explain how to file. This guide also covers what it means for your mortgage payment.
The short answer: your checklist
- Update your Texas driver’s license or state ID to your new address
- Confirm you own the home and live in it as your principal residence
- Make sure you aren’t claiming a homestead on another home
- File the application (Comptroller Form 50-114) with TCAD or WCAD, online, by mail or in person
- Watch for the exemption on your next tax bill
- Ask your servicer to re-analyze your escrow once it’s applied
What the homestead exemption is (and what it saves)
A residence homestead exemption removes part of your home’s value from taxation. To qualify, you need an ownership interest in the home, it must be your principal residence, and you can’t claim a homestead on another property (Texas Comptroller).
$140,000 school exemption
Texas Tax Code §11.13(b) requires school districts to exempt $140,000 of a residence homestead’s value. The Comptroller’s example: if your home is appraised at $300,000 and you qualify for the $140,000 exemption, you pay school taxes as if the home were worth $160,000.
Local-option exemption up to 20%
Under Tax Code §11.13(n), any taxing unit, such as a county or city, may adopt an extra exemption of up to 20% of the home’s appraised value. If adopted, it can’t be less than $5,000. Not every taxing unit offers it, so check the list of taxing entities and their exemptions on your appraisal district’s site.
The 10% appraisal cap
Tax Code §23.23 limits how much the appraisal district can raise the appraised value of your homestead each year. It can’t exceed the lesser of the home’s market value or last year’s appraised value plus 10%, plus the market value of any new improvements. The cap starts on January 1 of the tax year after the first year you qualify for the homestead exemption. So for most buyers, the first year with the exemption isn’t capped, and the following years are.
How to file in Travis County (TCAD)
TCAD accepts homestead applications three ways: online, by mail or in person at 850 East Anderson Lane, Austin, TX 78752.
- Make sure you own and live in the home as your principal residence.
- Get a Texas driver’s license or state-issued ID showing the same address as the home.
- Submit the application online through traviscad.org, or by mail or in person, with a copy of your license or ID.
- TCAD acts on applications within 90 days. If you don’t qualify, you’ll be notified and can protest.
There’s no fee, and you don’t reapply each year (Tax Code §11.43(c)) unless the chief appraiser asks in writing, you move or your eligibility changes. TCAD’s Exemption Helpline is (512) 873-1560.
How to file in Williamson County (WCAD)
- Update your driver’s license to a Texas license that shows the new property address.
- Go to wcad.org and find your home with Property Search.
- Select the HS Exemption icon to open the online application.
- Upload a copy of your license. Attachments need a lowercase file extension (for example, “.jpg,” not “.JPG”).
You can also file in person. There’s no fee and no annual reapplication. Questions: WCAD, 512-930-3787.
Bought mid-year? The prorated exemption
If you bought after January 1, you may get a prorated exemption for that year, starting when you owned and occupied the home, but only if the previous owner didn’t receive the exemption for that year (Texas Comptroller; WCAD; TCAD). If the seller had it, your exemption generally begins January 1 of the next year. Either way, you can file now.
Missed the deadline? Late filing
The regular filing period runs January 1 through April 30. If you miss April 30, you can still file a late application up to two years after the date the taxes become delinquent (WCAD).
How your exemption reaches your mortgage payment
Your appraisal district doesn’t tell your servicer about your exemption. It shows up on your tax bill, which your servicer pays from escrow. At your next escrow analysis, the lower bill should lower the escrow part of your payment. I’d recommend calling your servicer once you see the exemption on your bill and asking for an updated analysis.
If your payment went up after year one, the seller’s exemptions are often why. Read why your Austin mortgage payment may have gone up.
“Homestead” matters for more than taxes in Texas. It also drives the Texas cash-out refinance rules.
Over 65 or disabled: extra exemptions and the tax ceiling
If you’re 65 or older or disabled, Tax Code §11.13(c) requires school districts to give an additional $60,000 exemption (Texas Comptroller). The over-65 and disabled exemptions also create a school tax ceiling, sometimes called a freeze: a school district can’t raise the total tax on that homestead above the amount imposed in the first year you qualified (Tax Code §11.26), though new improvements can raise the ceiling (TCAD). If you move to another Texas home, you may be able to transfer the same percentage of tax paid to your new homestead (TCAD). If you had a ceiling on a previous Texas home, ask that county’s appraisal district for a tax ceiling transfer certificate (WCAD).
FAQ
When can I file a homestead exemption after buying a home in Texas?
As soon as you own and live in the home and your Texas driver’s license shows the address. You don’t have to wait until January 1.
How much is the Texas homestead exemption?
$140,000 off your school taxable value, plus up to 20% more from local taxing units that adopt it.
Do I get the exemption for the year I bought my home?
You can get a prorated exemption that year if the previous owner didn’t receive it.
What if I miss the April 30 deadline?
You can file a late application up to two years after the date the taxes become delinquent.
Do I have to reapply every year?
No (Tax Code §11.43(c)), unless the chief appraiser asks in writing, you move or your eligibility changes.
Does the homestead exemption cap my appraisal?
Yes. Starting the year after you first qualify, your homestead’s appraised value can’t rise more than 10% a year, plus new improvements.
How does my mortgage escrow reflect the exemption?
Through your next tax bill and escrow analysis. Tell your servicer once the exemption appears on your bill.
Buying in Travis or Williamson County?
We’ll factor your homestead exemption into your payment estimate. Call (512) 593-1336 (by appointment only), email info@capfilending.com, or apply online. We serve Austin, Round Rock, Georgetown, Leander and Cedar Park. First-time buyer? See our down payment assistance guide and first-time home buyer options, or read why Austin borrowers use a mortgage broker.
Sources: Texas Comptroller: Property Tax Exemptions · Tex. Tax Code §23.23 · Tex. Tax Code §11.26 and §11.43 · TCAD Homestead Exemptions · WCAD Exemptions · WCAD Online Exemption Information · WCAD New Homeowner Checklist
Disclosures: CapFi Lending, NMLS #1692019. Dustin Edwards, NMLS #577050. 2617 Willow St Unit 1, Austin, TX 78702 (by appointment only). (512) 593-1336. Equal Housing Opportunity. Verify licensing at NMLS Consumer Access. This article is tax information, not tax advice. Contact TCAD or WCAD about your property. Exemption amounts can change with new laws and elections. Last reviewed October 19, 2026.
