# Homestead exemption

> A homestead exemption cuts the taxable value or tax bill on the home you own and live in. How it works, examples from Texas and Florida, and how to apply.

URL: https://mail.mortgage-math-us.com/glossary/homestead-exemption/  
Last reviewed: 2026-10-29 · By the MortgageMath US Editorial team

## Quick answer

**A homestead exemption** is a state or local [property tax](https://mail.mortgage-math-us.com/glossary/property-tax/) break that lowers the taxable value — or the tax bill — of the home you own and live in as your primary residence. The amount, who qualifies and the deadline to apply are set by each state, and you usually have to apply.

## Key facts

| Fact | Value | Source | As of |
|---|---|---|---|
| Texas school district homestead exemption | $140,000 | [Texas Comptroller](https://comptroller.texas.gov/taxes/property-tax/exemptions/) | Dec 11, 2025 |
| Florida homestead exemption, up to | $50,000 | [Florida Department of Revenue: Homestead Exemption (PT-113)](https://www.floridarevenue.com/property/Documents/pt113.pdf) | Aug 1, 2025 |
| California homeowners’ exemption | $7,000 | [California State Board of Equalization: Homeowners’ Exemption (Publication 800-6)](https://boe.ca.gov/pdf/pub800-6.pdf) | Jun 1, 2023 |

## How big it is in different states

- **Texas:** school districts must exempt $140,000 of a homestead’s value, plus $60,000 more for owners 65 or older or disabled. On the median Texas home of $313,000, school taxes apply to only $173,000 — the exemption removes about 45% of the value. See [Texas](https://mail.mortgage-math-us.com/location/texas/).
- **Florida:** up to $50,000 off the assessed value. See [Florida](https://mail.mortgage-math-us.com/location/florida/).
- **California:** the homeowners’ exemption takes $7,000 off the assessed value.
- **Utah:** 45% of a primary residence’s market value is exempt.

Some states add caps on yearly assessment increases or extra relief for seniors and people with disabilities.

## Applying and keeping it

You generally apply once with the county appraisal district or assessor after you buy and move in, and the exemption is lost if the home stops being your main residence. Once it’s on the tax bill, the lower amount should flow through to your [escrow account](https://mail.mortgage-math-us.com/glossary/escrow-account/) deposit at the next yearly analysis. In some states “homestead” also means a separate protection of home equity from creditors. See [how property taxes change your payment](https://mail.mortgage-math-us.com/blog/how-property-taxes-change-your-payment/), or enter your net tax bill in the [mortgage payment calculator](https://mail.mortgage-math-us.com/tools/mortgage-payment-calculator/).

## Sources

- [US Census Bureau, American Community Survey 2024 1-year](https://data.census.gov/table/ACSDT1Y2024.B25077?g=040XX00US48) — Median value of owner-occupied homes (2024 ACS 1-year)
- [Texas Comptroller](https://comptroller.texas.gov/taxes/property-tax/exemptions/) — School district residence homestead exemption; Additional school homestead exemption, age 65+ or disabled (Dec 11, 2025)
- [Florida Department of Revenue: Homestead Exemption (PT-113)](https://www.floridarevenue.com/property/Documents/pt113.pdf) — Florida homestead exemption, up to (Aug 1, 2025)
- [California State Board of Equalization: Homeowners’ Exemption (Publication 800-6)](https://boe.ca.gov/pdf/pub800-6.pdf) — California homeowners’ exemption (assessed value) (Jun 1, 2023)
- [Utah State Tax Commission: Primary Residential Exemption](https://tax.utah.gov/propertytax/tax-relief/primary-residential-exemption/) — Utah primary residential exemption (share of market value exempt from property tax) (Oct 29, 2026)
- [Texas Comptroller: Property tax exemptions](https://comptroller.texas.gov/taxes/property-tax/exemptions/)

_General information, not financial advice._