In case you don’t know, a homestead exemption is a good thing to have. Â Why? Â In Texas, a homestead exemption allows a deduction equivalent to 20% of the home value for your principle residence. Â This does not apply to 2nd homes. Â Essentially, the exemption deducts 20% of your homeâ€™s value from being taxed, which significantly reduces your taxes owed.
From now on, in order to qualify for a homestead exemption, the following documents must match the address in which you’re applying for the exemption:
- Vehicle Registration
- Texas Driver’s License Â OR Â Texas ID Card