{"id":4162,"date":"2026-11-11T14:18:11","date_gmt":"2026-11-11T14:18:11","guid":{"rendered":"https:\/\/www.theredwing.news\/?p=4162"},"modified":"2026-11-11T14:18:11","modified_gmt":"2026-11-11T14:18:11","slug":"texas-homestead-appraisal-cap-hb563-2027","status":"publish","type":"post","link":"https:\/\/www.theredwing.news\/index.php\/2026\/11\/11\/texas-homestead-appraisal-cap-hb563-2027\/","title":{"rendered":"Texas bill would cut the homestead appraisal cap to 3%. Here\u2019s what that means for homeowners."},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><strong>What changed:<\/strong> Texas Rep. Jared Patterson filed a bill to lower the annual appraisal cap for qualifying residence homesteads from 10% to 3%, with the value of new improvements still added to the calculation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Who it affects:<\/strong> Homeowners whose principal residence qualifies for the homestead appraisal limit could see slower growth in their appraised value when market values rise sharply. The proposal would not cap the annual increase in their tax bills at 3%.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>What happens next:<\/strong> The Legislature convenes Jan. 12, 2027. Lawmakers would have to pass the bill and put a related constitutional amendment before voters. The <a href=\"https:\/\/capitol.texas.gov\/tlodocs\/90R\/billtext\/pdf\/HB00563I.pdf\">bill as filed<\/a> would take effect Jan. 1, 2028, only if voters approve the amendment.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">How the cap would work<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Suppose a qualifying homestead was appraised at $300,000 last year and has a market value of $350,000 this year, with no new improvements. Under the current 10% limit, its appraised value could rise to $330,000. Under the proposed 3% limit, it could rise to $309,000. If the market value were lower than the cap allowed, the lower market value would govern under the bill\u2019s formula.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That example shows the effect on the appraisal, not the amount due. The <a href=\"https:\/\/comptroller.texas.gov\/taxes\/property-tax\/\">Texas Comptroller\u2019s property tax guide<\/a> explains that exemptions reduce taxable value and local taxing units set their own rates. A lower appraisal can reduce the amount subject to tax, but the change in the final bill depends on those other factors.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What to watch in January<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Patterson filed the proposal on the first day of prefiling, according to <a href=\"https:\/\/prosperweekly.news\/article\/no-school-before-september-under-a-save-our-summer-bill-among-rep-patterson-s-first-eight-filings\">Prosper Weekly<\/a>. <a href=\"https:\/\/www.texastribune.org\/2026\/11\/09\/texas-legislature-90th-session-bill-filing-begins\/\">The Texas Tribune<\/a> reported that lawmakers filed several different approaches to property tax relief, including proposals to abolish property taxes or extend relief to renters. For this proposal, watch the <a href=\"https:\/\/capitol.texas.gov\/BillLookup\/History.aspx?LegSess=90R&amp;Bill=HB563\">official bill history<\/a> for a committee referral and hearing. The filing itself leaves current appraisals and tax bills unchanged.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>What changed: Texas Rep. Jared Patterson filed a bill to lower the annual appraisal cap for qualifying residence homesteads from 10% to 3%, with the value of new improvements still added to the calculation. Who it affects: Homeowners whose principal residence qualifies for the homestead appraisal limit could see slower growth in their appraised value [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":4161,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_hide_featured_image":false,"_jetpack_featured_image_duplicate_dismissed":0,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[18,411],"tags":[],"class_list":["post-4162","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy-innovation","category-texas"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.2 (Yoast SEO v28.8) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Texas bill would cut the homestead appraisal cap to 3%. 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