How Do Texas Property Taxes Work for Frisco Homebuyers and Sellers?

Two numbers make your bill. The appraisal district decides what your property is worth. Each local taxing unit, such as a school district, city or county, sets its own rate. Your bill is built from the first number, any exemptions you qualify for, and those rates.

Texas has no state property tax. The Texas Comptroller's office says local taxing units set the rates and spend the money on local services such as schools, roads, and police and fire protection. I'm Omega Mejia, a real estate agent with Simply Great Real Estate Group at OnDemand Realty, and I walk buyers and sellers through this early, because the tax picture changes what a home costs to own. The short answer is also in my FAQ.

In Collin County, that is the Collin Central Appraisal District. It appraises property for the taxing units in the county. Its value is not a sale price and it is not a listing price. It is an estimate the district sets for tax purposes.

Appraisal notices come first. Per the Texas Comptroller, notices of appraised value go out by April 1 for a residence homestead, or as soon as practical after if the value is higher than the year before. The Collin Central Appraisal District's website says its 2026 notices were scheduled to be mailed on April 15. Read the notice when it arrives. It shows the value the district is proposing and the dates that matter to you.

Each taxing unit that covers your address sets its own rate. A home in one part of Collin County can sit under a different mix of school district, city, county and special districts than a home a few miles away. That is why two homes with the same value can get different bills.

There is no single rate. The tax office for the county and the taxing units publish current rates. When I work with a buyer, I look at the specific address and the units that cover it, and I ask a lender or tax professional to run the numbers for the budget.

A homestead exemption lowers the value your taxes are based on, when the home is your main residence. As of October 14, 2026, the Texas Comptroller's page on exemptions says school districts must provide a $140,000 residence homestead exemption. Owners who are 65 or older, or who are disabled under the definition on that page, get an additional $60,000 exemption from school districts.

The same page says any taxing unit may adopt a local exemption of up to 20 percent of appraised value, with a $5,000 minimum. Whether your city or county offers one depends on the unit, so confirm with the appraisal district.

The exemption is not automatic. You apply with the appraisal district, and the Comptroller's page says the general application deadline is before May 1. Ownership is measured as of January 1, and a new owner who buys after January 1 may qualify for part of the tax year. If you bought recently, apply as soon as you can. Confirm the current rules with your broker, the appraisal district or a tax professional.

For a home with a residence homestead exemption, Texas limits how fast the taxable appraised value can grow. Under Texas Tax Code Section 23.23, the appraisal office can raise the appraised value for a tax year by up to the lesser of the market value, or 10 percent of last year's appraised value plus last year's appraised value plus the market value of any new improvements.

In plain terms, the taxable value on a homestead can rise by no more than about 10 percent a year, plus the value of new additions. The cap starts on January 1 of the year after you first qualify for the exemption. Repairs and ordinary maintenance do not count as new improvements.

This matters when you compare homes. A neighbor who has owned for years may have a capped value well under market value. A buyer should not assume that the seller's tax bill will carry over, because the cap generally begins fresh after the buyer qualifies. Ask me to help you read the appraisal district's record for any home you are considering.

Yes. Per the Texas Comptroller, the protest deadline is usually May 15 or 30 days after the notice is mailed, whichever is later. The 30 days run from the mailing date, not the date you open it. A written notice that identifies the property and the owner and shows you disagree is enough.

If you disagree after an Appraisal Review Board hearing, there are further steps, including district court and binding arbitration, each with its own deadline. Read the details on the Comptroller's protest page and on the Collin Appraisal Review Board site. I can pull recent nearby sales to help you decide whether a protest makes sense. See my answer to protesting your value.

Before you write an offer, ask for the tax picture on the specific address. Look at the current appraised value, the exemptions on file, and which taxing units cover the home. Then ask your lender how the tax estimate fits your monthly payment.

New construction needs extra care. A new home may not have a full appraisal for its finished value yet, and the first bill can differ from later ones. My page on buying new construction covers the questions I ask builders. If you are moving from out of state, relocating to Texas walks through what changes. The starting point for any purchase is the buying process.

Buyers will look at your tax bill, so know it. Pull your latest notice and your exemptions before you list. Tell me about any protest in progress. The value the district shows is not your sale price, and I price a home from comparable sales, not from the tax record. My pricing process uses Plan A, Plan B and Plan C so you see the options before we choose. For a first read on your number, start with a home valuation, or see the full path in selling your home.

Ask the Collin Central Appraisal District which exemptions are on file for the address, and whether the homestead cap applies. Ask a tax professional how the bill fits your finances. Ask your lender how taxes enter the monthly payment. Ask me for the sales and the process, and I will tell you what I see. When you are ready, contact me. I'm glad to look at an address with you, in Frisco, McKinney, Plano or anywhere in the county.

This is general information about my approach, not legal, tax, financial or insurance advice. Confirm the current rules with your broker, the appraisal district and a tax professional.