Big news has come out of the Texas House recently, as they passed a $17.3 billion property tax relief bill, touted as the largest tax cut in the state’s history. House Bill 2 is set to bring some much-needed relief to Central Texas homeowners by establishing a 5 percent annual appraisal cap on all property types and significantly lowering school district taxes. This move will begin compressing the tax rate by 25 cents by the year 2025. According to the Texas House, homeowners who own a $350,000 home – which is the average home price in Texas – can expect to save $542 in 2024 and $733 in 2025. The bill also states that the longer a homeowner stays in their house, the more significant the financial benefits will be.
While the Texas House has made substantial progress on this property tax relief bill, there is still work to be done. The Texas Senate passed its own property tax relief bill last month, which is different from the House bill, as it favors homestead exemptions over appraisal caps. With both chambers of the Texas Legislature working on their respective property tax relief proposals, there are roughly six weeks remaining in the regular session for them to decide which plan, if any, will move forward. For more details on the original article, visit [here](https://www.recenter.tamu.edu/news/newstalk-texas/?Item=29001).