Yes, Texas has property taxes, and they're among the highest in the nation by effective rate
Texas does not have a state income tax, but it makes up for that with property taxes. Every county and school district in Texas levies property taxes on real estate. If you own a home, land, or rental property in Texas, you will receive a property tax bill from your local appraisal district, usually once or twice a year depending on your county.
The amount you pay depends on the appraised value of your property and the tax rates set by your county, school district, and any special districts that serve your area—such as water districts or emergency services districts. Unlike income tax, which is uniform across a state, property tax rates vary significantly from one Texas county to another.
Key Takeaways
- Texas property taxes are set by local counties and school districts, not the state, so rates differ widely depending on where you own property.
- Your property tax bill is calculated by multiplying your home's appraised value by the combined tax rate of all taxing units in your area.
- Texas homeowners may may have access to for a homestead exemption that reduces the taxable value of their primary residence by a set amount or percentage.
- Property tax bills in Texas are typically due in two installments in October and January, though some counties allow different payment schedules.
- If you disagree with your property's appraised value, you can file a protest with your local appraisal district, usually by May 15 each year.
How Texas property tax rates are set
Texas has no statewide property tax rate. Instead, each county appraisal district appraises property, and then each taxing unit—county government, school district, city, water district, and others—sets its own tax rate. Your total property tax bill is the sum of all these rates applied to your home's appraised value.
A homeowner in one Texas county might pay 0.6% of their home's value in property tax, while a homeowner in another county pays 1.8% or more. School districts account for the largest share of most property tax bills in Texas, typically 40 to 50% of the total. The remaining portion goes to county government, cities, and special districts.
The Texas Comptroller of Public Accounts publishes effective tax rates by county each year, which shows what percentage of a home's value residents typically pay in property tax. These rates are public information and can help you understand what to expect if you are considering buying property in a particular area.
The homestead exemption and other reductions
Texas offers a homestead exemption that can significantly reduce your property tax burden if you own your primary residence. The exemption removes a portion of your home's value from taxation. The state mandates a minimum exemption of $40,000 of assessed value for school district taxes, but counties and school districts can choose to offer larger exemptions.
Many Texas counties and school districts offer exemptions of $50,000 to $100,000 or more. Some offer percentage-based exemptions instead—for example, 20% of the home's value. To claim the homestead exemption, you must file a form with your local appraisal district, usually before April 30 of the year you want the exemption to take effect. You can file online, by mail, or in person at the appraisal district office.
Texas also offers property tax exemptions for seniors (age 65 and older), disabled persons, and disabled veterans. These exemptions may be larger than the standard homestead exemption and sometimes include a freeze on the appraised value so your tax bill does not increase as your home appreciates. may be able to access and the size of these exemptions vary by county.
Understanding your property appraisal
Your property tax bill starts with an appraisal—an estimate of your home's market value. The county appraisal district, not the county tax assessor, is responsible for appraising all property in the county. Appraisers use sales data from comparable homes, the condition of your property, and other factors to estimate value.
You receive an appraisal notice each year, usually in April or May. The notice shows the appraised value the district assigned to your property. This value is not the same as what you paid for your home or what you could sell it for today—it is the appraisal district's estimate of market value used for tax purposes.
If you believe the appraised value is too high, you have the right to protest it. Most Texas counties allow protests filed by May 15 each year, though some extend the important date. You can file a protest online, by mail, or in person. The appraisal district will review your protest and may adjust the value, or you may attend a hearing before the appraisal review board to present your case.
When property tax bills are due
Texas property tax bills are due on January 31 of the year following the tax year. However, most counties divide the bill into two installments: one due in October and one due in January. The October bill is typically for the first half of the tax year (July through December), and the January bill covers the second half (January through June).
You can pay your property tax bill online through your county appraisal district or tax assessor-collector's website, by mail, or in person. Some counties allow automatic payments or payment plans if you request them. If you pay late, you will owe a penalty and interest, which accumulate monthly.
If property taxes go unpaid for an extended period, the county can place a lien on your property or sell it at a tax sale. Texas law allows a property to be sold for unpaid taxes, though the process takes time and the property owner has a right of redemption to reclaim the property by paying the taxes and costs within a set period after the sale.
How property taxes differ across Texas counties
Texas property tax rates vary dramatically by location. Some rural counties have effective tax rates below 0.7%, while some urban and suburban counties exceed 1.8%. School district funding needs, county services, and local economic conditions all influence these rates.
The table below shows how rates can differ across a sample of Texas counties. These are approximate effective rates and change annually:
| County | Approximate Effective Tax Rate | Primary Driver |
|---|---|---|
| Collin County (suburban Dallas) | 1.6% to 1.8% | High school funding needs, growing population |
| Harris County (Houston area) | 1.4% to 1.6% | Large school districts, urban services |
| Travis County (Austin area) | 1.5% to 1.7% | Growing school enrollment, city services |
| Loving County (rural West Texas) | 0.5% to 0.7% | Small population, limited services |
If you are considering moving to Texas or buying property in a specific county, check the Texas Comptroller's website for the most recent effective tax rates in that area. Rates change each year as school districts and counties adjust their budgets.
What happens if you cannot pay your property taxes
If you are struggling to pay your property taxes, contact your county tax assessor-collector's office when ready. Many counties offer payment plans or can discuss options with you before your account becomes delinquent. Some counties have hardship programs or can defer taxes for seniors or disabled homeowners.
Texas also has a property tax deferral program for homeowners age 65 and older or disabled persons. This program allows you to defer paying property taxes on your primary residence while you live there. The taxes become due when you sell the home or pass it to your heirs, and the state pays the taxes in the meantime. You must meet income limits to may have access to, and you must explore through your county appraisal district.
If you fall behind on property taxes, the county will send notices and eventually place a lien on your property. The longer you wait, the more penalties and interest accumulate. Seeking help early is far less costly than dealing with a tax sale or foreclosure later.
Frequently Asked Questions
Can I appeal my property appraisal if I think it's too high?
Yes. You can file a protest with your county appraisal district, usually by May 15 each year. You can do this online, by mail, or in person. If the appraisal district does not adjust the value, you can request a hearing before the appraisal review board to present evidence that the value is incorrect.
What is the homestead exemption and how do I get it?
The homestead exemption removes a portion of your primary home's value from property taxation. Texas requires a minimum $40,000 exemption for school taxes, but many counties offer larger amounts. File a form with your county appraisal district before April 30 to claim it for that tax year. You can file online, by mail, or in person.
Do I have to pay property taxes twice a year?
Most Texas counties split the property tax bill into two installments due in October and January, but you can often pay the full amount at once if you prefer. Check with your county tax assessor-collector's office for payment options and important date in your area.
What happens if I don't pay my property taxes?
Unpaid property taxes accumulate penalties and interest each month. The county can place a lien on your property, and after a set period, the property can be sold at a tax sale. Contact your county tax assessor-collector when ready if you cannot pay to discuss payment plans or hardship options.
Are property taxes in Texas higher than in other states?
Texas has no state income tax, but property tax rates are among the highest in the nation by effective rate. The average Texas homeowner pays a higher percentage of their home's value in property tax than homeowners in many other states, though this varies significantly by county within Texas.