The Texas homestead exemption over 65 adds an extra $60,000 school district exemption on top of the $140,000 general school exemption, plus a school tax ceiling that keeps your school taxes from rising above the year you qualified. You can claim it starting in the year you turn 65, on Form 50-114 filed with your county appraisal district. Owners 65 and older can also defer their homestead taxes, and a surviving spouse who was 55 or older can keep certain benefits.
I'm Taylor Ring, a Mortgage Loan Officer with Fairway Independent Mortgage Corporation (The Wood Group) in Belton. When a buyer is 65 or older, these rules change how the taxes, and the monthly payment, work. Here's what changes at 65, from the Comptroller, the Tax Code, and local appraisal districts. For the basic filing steps, see my guide on how to file the homestead exemption in Texas.
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What the Over-65 Exemption Adds
According to the Texas Comptroller, every school district must give homeowners 65 or older an additional $60,000 exemption (Tax Code Section 11.13(c)). Any city, county, school district, or special district may add its own 65-or-older exemption of at least $3,000 (Section 11.13(d)). You also get a school tax ceiling, often called a freeze.
| Exemption or Limit | Who Gives It | Amount |
|---|---|---|
| General residence homestead | School districts (mandatory) | $140,000 |
| Age 65 or older | School districts (mandatory) | Additional $60,000 |
| Age 65 or older, local option | Any taxing unit that adopts it | Not less than $3,000 |
| School tax ceiling | School districts (automatic with the 65+ exemption) | Limits school taxes |
| County, city, or junior college ceiling | Only units that adopt it | Limits that unit's taxes |
Source: the Comptroller's Residence Homestead Exemptions flyer, read October 2026.
What Changed in 2025
The Comptroller's 2025 law changes summary says SB 4 raised the general school exemption from $100,000 to $140,000 and SB 23 raised the 65-or-older and disabled exemption from $10,000 to $60,000. Both needed voter approval and apply beginning with the 2025 tax year.
Hypothetical Example (the Comptroller's Own)
The Comptroller's flyer uses Ms. Smith, age 68, with a home appraised at $300,000. Her school district exemptions:
- General homestead (mandatory): $140,000
- General local option (15%): $45,000
- Age 65 or older (mandatory): $60,000
- Age 65 or older local option: $3,000
Her school taxable value after exemptions is $52,000. Local options vary by taxing unit.
Who Qualifies
You must be 65 or older, have an ownership interest in the home, and live in it as your principal residence. Williamson CAD says only one of the listed owners has to be 65. If you're also disabled, you can't get both the 65-or-older and disabled exemptions from the same taxing unit.
The School Tax Ceiling ("Freeze")
Once you qualify, your school district can't raise your school taxes above what it imposed in the first year you qualified for the 65-or-older exemption (Section 11.26). A few details matter:
- Improvements can raise it. Bell CAD's examples: a garage, room, or pool. Repairs don't count.
- Qualifying mid-year. If you qualify after the year starts and the next year's school tax is lower, the ceiling is set at that lower amount.
- It can go down. Section 11.26(a-10) adjusts the ceiling when the state compresses school tax rates or raises the school homestead exemptions.
- It belongs to you, not the house. It ends when no qualifying owner still lives there as a homestead on January 1.
Counties, cities, and junior college districts may adopt their own ceiling, but don't have to (Section 11.261). The Comptroller notes these ceilings aren't exemptions and don't change your taxable value.
Taking Your Ceiling to a New Home
For a 65-plus buyer who's moving, this is the big one. You can transfer, or "port," your school tax ceiling to another Texas home you make your homestead.
It moves as a percentage, not a dollar amount. Under Section 11.26(g), it's the school taxes you actually paid on your old home in its last year, divided by what you'd have paid without the ceiling. That percentage applies to the new home's school taxes. To transfer it:
- Get a certificate from your old home's appraisal district (Section 11.26(h)).
- Answer yes to "Are you transferring a tax limitation?" on Form 50-114, and list your previous address and county.
- Give the certificate to the new home's appraisal district if it's a different one. Bell CAD calls this a Ceiling Transfer.
School ceilings can move anywhere in Texas. County, city, and junior college ceilings only transfer within the same taxing unit. A move from Round Rock to Temple can carry the school ceiling percentage, but a county or city ceiling wouldn't come with you.
When You Can Apply
You can apply in the year you turn 65. The exemption takes effect January 1 of that tax year and covers the whole year, even with a December birthday. Williamson CAD says you can apply any time during that year.
- Deadline: Section 11.43(k) says to apply by the first anniversary of the date you qualified. Form 50-114 allows late applications up to two years after the filing deadline.
- Already have a homestead exemption? If your appraisal district has your accurate birth date, it should add the over-65 exemption without a new application (Section 11.43(m)). Check your appraisal notice to be sure.
How to File for the Over-65 Exemption
Use Form 50-114 or your district's online form. For the over-65 part:
- Check "Person Age 65 or Older (or Surviving Spouse)" in Section 1.
- Enter each owner's birth date.
- Attach a copy of your Texas driver's license or state ID showing the home's address.
- Surviving spouses add the deceased spouse's name and date of death.
- Transferring a ceiling? Include the certificate from your former appraisal district.
Where to file locally:
- Bell CAD (Belton, Temple, Killeen, Salado): online application or Form 50-114; 254-939-5841.
- Williamson CAD (Georgetown, Round Rock, Cedar Park, Leander): the online exemption form covers Over 65, with no fee; 512-930-3787.
- McLennan CAD (Waco): Form 50-114; check mclennancad.org or call 254-752-9864.
Surviving Spouses 55 and Older
If your spouse qualified for the 65-or-older exemption and died, you may keep certain benefits if you were 55 or older at the time and the home was, and still is, your homestead:
- The school tax ceiling continues (Section 11.26(i)).
- Local option 65-or-older exemptions from the same taxing units carry over (Section 11.13(q)).
The $60,000 school exemption itself is tied to being 65 or older or disabled, so confirm with your appraisal district what applies to your account. Bell CAD says you must have ownership in the home and proof of your spouse's death.
Tax Deferral and Installments at 65
Tax deferral (Section 33.06). You can postpone homestead property taxes for as long as you own and live in the home by filing Form 50-126 with your appraisal district.
- The taxes aren't canceled. The tax lien stays, and interest accrues at 5% a year.
- They come due later. After you no longer own and live in the home, a collection suit can start on the 181st day after the collector delivers a delinquency notice. A surviving spouse 55 or older can continue the deferral.
- Your mortgage still applies. Form 50-126 warns the property can still face collection or foreclosure over other debts, including mortgages.
Installments (Section 31.031). Owners 65 and older can pay homestead taxes in four equal installments without penalty or interest, starting with a first payment and notice before the delinquency date, per the Comptroller. If you pay taxes through escrow, talk to your servicer before counting on either option.
What It Means When You Buy at 65 or Older
Buying in Bell, Williamson, or McLennan County? Here's what I go over with you:
- Your Loan Estimate is an estimate. The CFPB explains that it shows estimated taxes and insurance. After your exemptions and any ceiling transfer apply, actual taxes can differ.
- The seller's tax bill isn't yours. A seller's over-65 exemption or ceiling doesn't carry over to you.
- Your first year can be tricky. Section 11.13(h) says successive owners can't each get the same exemption on the same homestead in the same year. If the seller had exemptions this year, ask the appraisal district how yours will be handled.
- Escrow adjusts. The CFPB notes that your escrow payment, and your total payment, change when your taxes change. My guide to closing costs in Texas shows where the escrow deposit appears.
This is general information, not tax or legal advice. Confirm the details for your property with your appraisal district or a tax professional.
Frequently Asked Questions
How much is the Texas homestead exemption for people over 65?
School districts must give homeowners 65 or older an additional $60,000 exemption on top of the $140,000 general homestead exemption. Any taxing unit may also adopt a local option 65-or-older exemption of at least $3,000, and your school taxes get a ceiling based on the year you qualified.
Do school taxes freeze at 65 in Texas?
Yes, in the sense that a school district can't raise your school taxes above the amount it imposed in the first year you qualified for the 65-or-older exemption. The ceiling can rise if you add improvements like a garage or pool, and state law can lower it when school tax rates are compressed or exemptions increase.
Can I transfer my over-65 tax ceiling to a new home in Texas?
Yes. You can move the percentage of school taxes you paid under your old home's ceiling to a new Texas homestead. Request a certificate from your former appraisal district and give it to the new one. County, city, or junior college ceilings only transfer within the same taxing unit.
When can I apply for the over-65 homestead exemption in Texas?
You can apply in the year you turn 65, and the exemption applies to that entire tax year. The Tax Code gives you until the first anniversary of the date you qualified, and Form 50-114 allows late applications up to two years after the filing deadline.
Can a surviving spouse keep the over-65 homestead exemption?
A surviving spouse who was 55 or older when the qualifying spouse died can keep the school tax ceiling and any local option 65-or-older exemptions from the same taxing units, as long as the home was and remains their homestead. Check with your appraisal district about the rest of your account.
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Related Guides
- How to File the Homestead Exemption in Texas
- Closing Costs in Texas
- Buying a Home in Texas
- Buying a Home in Belton, Temple, and Waco
Sources
- Texas Comptroller: Property Tax Exemptions
- Texas Comptroller: Residence Homestead Exemptions flyer
- Texas Comptroller: Texas Property Tax Exemptions (2026)
- Texas Comptroller: 2025 Texas Property Tax Law Changes
- Form 50-114, Form 50-126, and Comptroller payment options
- Texas Tax Code Chapter 11 and Chapter 33
- Bell CAD exemption information, Williamson CAD online exemptions, and the Comptroller's county directory
Taylor Ring, NMLS #2809683 | Fairway Independent Mortgage Corporation, NMLS #2289 | The Wood Group of Fairway, 127 Lake Rd Ste 300, Belton, TX 76513 | Equal Housing Opportunity. This is not a commitment to lend. All loans are subject to credit approval and program guidelines, and approval, rates, and program availability are not guaranteed. This article is general information, not tax or legal advice; your appraisal district decides exemption eligibility. Not affiliated with or endorsed by the Texas Comptroller, any appraisal district, or any government agency.