The Texas House of Representatives approved a huge real estate property taxes relief package for property owners that would represent a big tax break, and a relax for their pockets. This new legislation includes stricter appraisal limits that apply to all types of properties, not only to homes, but to others for different purposes.
The proposed House Bill 2 by Dallas Representative Morgan Meyer would also reduce school property tax rates, providing a $461 tax exemption for a $350,000 homeowner next year and $590 in fiscal year 2025, according to Phelan. At a policy summit sponsored by the conservative think tank Texas Public Policy Foundation, Phelan stated that the House “is going to focus on property tax relief in a way that we haven’t seen in many, many decades.” So, here’s how this real estate property taxes cut could benefit you.
The Benefits of This Real Estate Property Tax Cuts
In 1997, Texas Constitution underwent an amendment that restricted the increase in the appraisal for a home declared as a homestead to no more than 10% per year. However, with the soaring real estate values in recent times, homeowners are finding it challenging to cope with the news of their new appraisals.
With the real estate values increasing at a rapid pace, the new appraisals are causing undue stress and anxiety for homeowners. The amendment, which was initially a relief for homeowners, is now causing distress, and there may be a need for further amendments in the future to address the changing dynamics of the real estate market. In addition to real estate taxes, the report examines vehicle property taxes and how individuals fulfill and minimize their tax obligations in all 50 states.
But, good news for you, the property taxes in Texas are more affordable for those who own a house in California. But, if you’re thinking about moving to the Southern state from other states, think a little longer. The real estate property tax rate is 1.74%, meanwhile in Calif it’s 0.75%. Furthermore, in the Golden States some other taxes and values applies, and that’s what pushes the amounts to pay up.
Despite the Property Taxes, the Living Costs in Texas Are Attracting New Homeowners
The cost of living in Texas is generally lower than in California due to several factors. Firstly, housing costs in Texas are significantly lower than in California. The median home price in California is almost double that of Texas.
Additionally, numerous taxes are typically lower in Texas, including property taxes and state income taxes. This might sound contradictory to what we’ve stated before, but some values are lower than in other states. The cost of food, transportation, and healthcare is also lower in Texas. Finally, the cost of doing business in Texas is relatively low, which helps keep prices down for consumers. While both states offer unique benefits, Texas’s lower cost of living makes it an attractive option for many individuals and families.