What should I expect to pay in taxes when buying a property for more than the previous appraised value?

When you purchase a property in Tarrant County, Texas, it is likely that the county appraisal district will re-appraise the property based on the recent sales price. While it is possible that the appraised value will increase to around the sales price of $235,000, it is not guaranteed. In Texas, there is a homestead exemption cap, which limits the increase in taxable value for a property with a homestead exemption to 10% per year. However, this cap applies to the increase in the appraised value, not the market value. The 10% cap is applicable after the property has been granted a homestead exemption. It is important to note that when a property changes ownership, the new owner will need to apply for their own homestead exemption. Once you apply and are granted a homestead exemption, the 10% cap will apply to the appraised value of your property, starting from the following tax year. In your case, if you purchase the property and apply for a homestead exemption in January, the exemption and the 10% cap will apply to the appraised value from the next tax year. The initial increase in the property's appraised value due to the sale might be substantial, but the subsequent increases in value will be limited by the 10% cap. Please keep in mind that property tax rates and regulations can change, and the best course of action is to consult a local real estate agent or tax professional for up-to-date, accurate information. David Smith Blok & Blvd. Realty 281-732-3090

Wait slow down. Check the value and tax exemption from previous owner for current year. you may be able to pay much less with using seller exemptions. Be sure next year exemption get filled on time.

Tax rates are specific by area. However, you are always able to see if you qualify for any tax exemptions. Annually you can see if you need to protest any tax hikes. A broker price comparison may be able to help you with comparables for the area for the protest if necessary.

Hello my friend!

Usually, upon sale, the value of the property resets to market value. If the appraisal district is able to find the sold price, they will use that as the new appraisal value. If they do not have that information they will appraise accordingly to market. If their appraisal is higher for any reason, you can fight it and provide proof of purchased price and they will adjust to that.

Regards,

Javier Rivera - The CFO Agent
VICE PRESIDENT - REALTOR
Ai Realty