How to Appeal Property Taxes in Houston: A Step-by-Step Guide

If you’re a homeowner in Houston, rising property tax assessments can feel overwhelming. Fortunately, you have the right to appeal your property taxes and potentially lower your tax bill. This guide provides a detailed walkthrough of the appeal process, highlights local tax rates, trends, and exemptions, and answers common questions to help you maximize your savings.

Understanding Property Taxes in Houston

Property taxes in Houston are determined annually by the Harris County Appraisal District (HCAD). These taxes are based on:

• Appraised Value: The market value of your home as assessed by HCAD.
• Tax Rate: A percentage determined by local taxing authorities, such as the city, school district, or county.
• Exemptions: Reductions in taxable value, including homestead, senior citizen, or disabled veteran exemptions.
  

Houston Property Tax Rates

• Harris County Base Rate: 0.321770%
• Houston ISD Rate: Approximately 1.037%
• Municipal Utility Districts (MUDs): Rates vary, often ranging between 0.5% and 0.65%.
• Average Total Property Tax Rate in Houston: Around 2.09%.
  

Popular Zip Codes and Trends

Certain areas of Houston have seen significant increases in property values, leading to higher tax bills:

• 77008 (The Heights): Known for its rapid appreciation due to revitalization efforts.
• 77019 (River Oaks): High-value luxury properties face increased assessments.
• 77024 (Memorial): Consistently rising valuations for large estates.
  

Homeowners in these and other neighborhoods are increasingly turning to property tax protests to keep their bills in check.

Step-by-Step Guide to Appealing Property Taxes in Houston

Review Your Appraisal Notice

Each spring, HCAD sends appraisal notices with assessed values. Review your notice for:

• Appraised Value: Does it accurately reflect your home’s market value?
• Property Details: Are there errors in square footage, lot size, or improvements?
  

What if your appraisal notice contains errors?

Gather evidence such as photos, repair estimates, and recent comparable sales data to support your case.

Decide Whether to Protest

Protesting your property taxes is worth considering if:

• Your home’s appraised value exceeds its market value.
• Comparable homes in your neighborhood are assessed lower.
• Errors exist in your property’s description or condition.
  

Should you protest your taxes every year?

Yes. Houston property owners can file a protest annually to ensure their assessments remain fair and accurate.

File Your Protest

You must file your protest by May 15th or within 30 days of receiving your appraisal notice. Use one of the following methods:

• Online: Through HCAD’s iFile System.
• Mail: Submit the Notice of Protest (Form 50-132) to HCAD.
• In Person: Visit the HCAD office at 13013 Northwest Freeway, Houston, TX 77040.
  

Gather Supporting Evidence

The strength of your protest lies in your evidence. Effective documentation includes:

• Comparable Sales Data: Recent sales of similar properties in your zip code (e.g., 77024, 77056).
• Independent Appraisals: Professional assessments showing your home’s fair market value.
• Photos: Visual evidence of damage or needed repairs, such as foundation cracks or roof issues.
  

Attend the Informal Review

During an informal review, you’ll meet with an HCAD appraiser to present your case. Often, this step can lead to a reduction in your property’s appraised value without the need for a formal hearing.

What happens during an informal review?

• Present your evidence to the appraiser.
• Discuss any discrepancies in the assessed value.
• If no agreement is reached, your protest will proceed to the formal hearing stage.
  

Prepare for the Formal ARB Hearing

The Appraisal Review Board (ARB) hearing is your opportunity to present your case to a panel of independent reviewers. During the hearing:

• Clearly explain why your home’s appraised value is incorrect.
• Use data and visuals to support your argument.
• Be prepared to answer questions about your property.
  

What happens if you’re dissatisfied with the ARB decision?

You can pursue binding arbitration or file a court appeal for further review.

Houston Property Tax Exemptions

Exemptions can significantly reduce your tax liability. Common exemptions include:

• Homestead Exemption: Reduces taxable value by up to 20% for primary residences.
• Over-65 or Disabled Exemption: Offers additional savings for qualifying homeowners.
• Veteran Exemptions: Based on service-related disability percentages.
• Disaster Exemptions: Temporary reductions for homes damaged by hurricanes or flooding.
  

Houston Property Tax Trends

• Tax Revenue Growth: Houston’s property tax revenues increased by 45.9% from 2016 to 2020, far outpacing inflation and population growth.
• Rising Home Values: Popular neighborhoods like Midtown (77002) and Montrose (77006) have experienced sharp increases in property values.
• Impact on Homeowners: These trends have led to higher tax burdens, motivating many to file protests.
  

How Abode Can Help

Navigating the property tax appeal process can be complicated, but Abode makes it easier:

• Local Data Access: Compare sales and assessments in your area.
• Streamlined Filing Tools: Submit your protest quickly and accurately.
• Exemption Assistance: Ensure you’re taking full advantage of available tax savings.
  

Learn how Abode can help you reduce your property taxes in Houston.

Final Thoughts

Appealing your property taxes in Houston can result in significant savings and ensure your home is fairly assessed. By following this guide and leveraging the expertise of Abode, you can simplify the process and maximize your chances of success.

Start your property tax protest today and take control of your property tax bill!