This makes the $100,000 Homestead Exemption permanent, and homeowners will receive tax relief every single year, forever.
Texas Insider Report: AUSTIN, Texas – Lt. Gov. Dan Patrick issued this statement today following the unanimous passage of Senate Bill 4, Increasing the Homestead Exemption to $140,000 ($150,000 for seniors), and Senate Joint Resolution 2, by Sen. Paul Bettencourt:
“I have been fighting to reduce property taxes since long before I was elected to the Texas Senate. I have made increasing the Homestead Exemption my mission because it's the best way to deliver meaningful property tax reductions for homeowners.
“When I became Lt. Governor in 2015 the Homestead Exemption was $15,000 and, today, the exemption is $100,000, and $110,000 for seniors. In 2023, the $100,000 Homestead Exemption was permanently codified into the Texas Constitution when voters passed Proposition 4 with 83% of voters in support. This makes the $100,000 Homestead Exemption permanent, and homeowners will receive tax relief every single year, forever.“The Senate’s passage of SB 4, which increases the Homestead Exemption to $140,000, and $150,000 for seniors, builds on last session’s historic success.
"Once signed into law and voters approve the constitutional amendment proposition in November 2025, the $140,000 Homestead Exemption will be codified in the Texas Constitution forever.
“Four Hundred Ninety-Two school districts (49% of Texas school districts,) have an average home value under $140,000, meaning school M&O Property Taxes will be eliminated for the average homeowner in those districts. Estimates show the average Texas homeowner will save $363.44 due to this increase. When combined with the school Tax Rate Compression already included in the budget, the average Texas homeowner will save $496.57.
“In 2023, the Texas Senate delivered a tax cut of $1,266.30 for the average homeowner. When tax cuts from 2023 and 2025 are combined, homeowners will be receiving a total tax cut of $1,762.87. Seniors will receive a combined tax cut of $1,933.23, resulting in a 58.5% reduction in school district property taxes for seniors from 2023 to the present.
“Based on the unanimous 30-0 vote, it is clear Senators from both sides of the aisle understand that when an increased Homestead Exemption and more compression are combined, homeowners receive maximum tax relief benefit.
"I thank Sen. Paul Bettencourt for his hard work in carrying SB 4 and SJR 2.”Senate Bill 4, by Sen. Paul Bettencourt (tight,) increases the Homestead Exemption to $140,000, and $150,000 for seniors. Once signed into law, SB 4 and SJR 2 will result in a constitutional amendment election in November 2025.
This Homestead Exemption would apply retroactively to 2025 tax bills.
