San Antonio may max out tax relief for homeowners
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Weary homeowners could save some money on their next San Antonio property tax bill.
Driving the news: San Antonio is looking to increase its homestead exemption to 20%, the maximum allowed by state law. City staff recommended the increase at a City Council meeting Wednesday, where council members and Mayor Ron Nirenberg were supportive.
Why it matters: Many shocked homeowners are still recovering from towering increases to their home valuations last year.
How it works: A homestead exemption shaves a percentage off the taxable value of someone's primary residence, leading to a lower property tax bill.
Details: A home with a market value of $300,000 would save about $324 a year under a 20% exemption, up from the $160 a year savings under the current 10% exemption, per city estimates.
Flashback: San Antonio implemented a homestead exemption of 10% last year, but still collected more revenue because of soaring valuations. The city also raised its exemptions for people at least 65 years old and people with disabilities last year.
- The city was required by state law to reduce some of its property tax take.
Of note: Even when the city adopted tax relief measures last year, many homeowners still paid more because of how much their values had climbed.
- Officials don't expect that will be the case this year.
What they're saying: "Based on our recommendation, their tax bill will be less," Troy Elliott, deputy chief financial officer, told reporters.
By the numbers: San Antonio saw a 12.2% increase in taxable value over the last year, per city records. That was driven by the 16.8% value increase for multi-family residential properties.
- About 169,000 protests against property values were filed with the Bexar Appraisal District.
Reality check: The bulk of a homeowner's property tax bill in Texas goes to school districts.
- The city's homestead exemption only applies to the city of San Antonio portion of a homeowner's tax bill.
What's next: The City Council is slated to vote next week on the recommended homestead exemption. The council votes on the budget in September and it takes effect Oct. 1.
- City staff expects to recommend a slightly lower tax rate in August.