If you’re a Texas homeowner, you likely benefit from the Texas homestead exemption, which helps reduce your property taxes by exempting a portion of your home’s value from taxation. However, there’s a new rule homeowners need to be aware of: every 5 years, the County Appraisal District (CAD) will verify eligibility for the exemption.

Under this new rule, Texas property owners must verify their eligibility for the homestead exemption every five years. If the CAD cannot confirm that you’re still eligible for the exemption, they’ll ask you to submit updated information. This re-verification ensures that only eligible homeowners continue receiving the exemption.

Homeowners will receive a re-verification form from their County Appraisal District, which must be completed and returned by the specified deadline. Failure to do so may result in the removal of the exemption and higher property taxes.

The process is straightforward and can be done online in just a few minutes. After submission, you’ll be notified of the decision within 90 days, and if you no longer qualify, you’ll have the opportunity to protest the decision.

The 5-year verification rule ensures that only homeowners who meet the exemption requirements continue to receive the benefit. This is a necessary update to maintain fairness and ensure that the exemption is applied correctly.

If you’re a homeowner, make sure you keep an eye out for the re-verification form from your County Appraisal District. Fill out and return the form before the deadline to avoid losing your exemption and facing higher property taxes. The form will include clear instructions on how to complete it, and the process is simple and fast.

You can check the status of your homestead exemption by visiting your County Appraisal District’s website. If you’ve lost the exemption due to missed deadlines but later reapply and get approved, you may be eligible for a refund for the overpaid taxes.

1. Proactively Reach Out: If your clients have been receiving the homestead exemption for five years, make sure they’re aware of the re-verification process.

2. Provide Support: Offer to assist with locating the re-verification form and submitting it online. This simple help can make a big difference in ensuring your clients don’t miss the deadline.

3. Monitor the Process: Stay in touch with your clients to remind them about the deadline and help them confirm their exemption status.

4. Help with Refunds: If your clients lose their exemption and later reapply, inform them they may be eligible for a tax refund for the overpaid amount.

By helping your clients navigate the re-verification process, you demonstrate your value as a trusted advisor and ensure they continue to benefit from the homestead exemption.

The Texas Homestead Exemption is a valuable benefit, but it’s essential to stay on top of the new 5-year re-verification rule. Homeowners must complete and return their re-verification forms on time to avoid losing their exemption. For real estate professionals, this is a great opportunity to support your clients, help them save money, and showcase your expertise.

For more information about the homestead exemption or if you need assistance, reach out to us at Patten Title. We’re here to help homeowners and real estate professionals maximize their property tax savings and navigate any changes in the law.