Hi there, Jenevieve Croall here with JLUX Homes Realty Group and I have some very good news for homeowners. With a new year comes another chance for homeowners to save on property tax bills through filing their homestead exemptions. Especially starting this year, as new laws have just been put into place allowing homeowners to file for a homestead exemption in the same year they buy their home. This new Bill, which went into effect January 1, 2022 is important because homeowners in prior years were losing out on anywhere from a few months to almost a full year of their homestead exemption and therefore paying more than they should in property taxes.
For those of you who are wondering exactly what is a homestead exemption and if you qualify, here is the quick 411 on all you need to know and how to file for one.
First thing to know, A Homestead Exemption reduces your annual property taxes. It does this by allowing all homeowners to take a $25,000 reduction from their home’s value.
Secondly, and in my opinion, more importantly, by having a homestead exemption in place it places limits on the tax assessor each year. With a homestead exemption in effect on your property, the county tax assessor can only raise your home’s taxable values by a maximum of 10% year over year. In a steady market like Dallas/Fort Worth, where we continue to see increases in home values, filing your homestead exemption is a must do.
Filing for your homestead exemption is very easy and free. But first, it is important to know that to qualify for a homestead exemption, the property you are filing it on MUST be your primary residence. You are not allowed to file this on any investment properties and secondary homes.
To file, simply go to your county’s central appraisal district website and select the application for Homestead Exemption. Below this video I have hyperlinks to some of the most common counties I help my clients buy and sell in.
For my new homeowners, don’t be fooled by official looking forms that will arrive in your mail charging a fee to do this. This process is 100% free and should only take a few minutes to fill out the application. For my longtime homeowners, if you have already filed for a homestead exemption, you are good as you do not need to do this every year and it should still be in place and if you are uncertain if you have a homestead exemption in place, give me a shout and I am happy to look it up for you.
So there you go whether you are a new homeowner or long time homeowner who has yet to put a homestead exemption in place on your home, get to it and click the county links below to get the process started!