That’s because California is protected by a law that limits the annual tax rate increase. Currently, California only allows up to a 2% increase based on the value of the property. Meanwhile in Texas, property appraisals have reached 10%.
But there is SOME hope on the horizon for Texas property owners.
The Reformed Property Tax Code of Texas (commonly referred to as SB2), the annual increase will be limited. Texas Governor Greg Abbott was in favor of this limit. In fact, he wished for a 2.5% cap, but it was amended to 3.5% which was approved by the House.
What does that mean for you? Although the 3.5% property tax will not necessarily reduce the property taxes, it’s still beneficial to homeowners. This new bill will lower its maximum increase. In turn, it will make the process for property appraisal more transparent.
