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Homes for Sale in Stephenville TX: How the Homestead Exemption Works for New Buyers
If you buy a home in Stephenville this fall, the Texas homestead exemption will not apply to your tax bill automatically. According to the Texas Comptroller, property owners generally have to apply to the appraisal district in the county where the home sits, which for Stephenville is the Erath County Appraisal District, and the general filing deadline is before May 1.
That matters more this year. The City of Stephenville adopted a 2026 tax rate of $0.4297 per $100 of value, and the exemption is one of the few tools a homeowner has to lower the bill.
What is the Texas homestead exemption, and how much is it?
The Texas residence homestead exemption removes part of a home's value from taxation, and school districts must give a $140,000 exemption on a residence homestead. The Texas Comptroller's property tax exemptions page cites Tax Code Section 11.13(b) for that requirement. The same page says school districts must give an additional $60,000 exemption to homeowners who are 65 or older (Tax Code Section 11.13(c)), as long as they own the home and live in it as their principal residence.
The Comptroller also says other taxing units may adopt a local option exemption of up to 20 percent of appraised value, with a minimum of $5,000. Whether a given city, county, or district has adopted one is a local decision. The Erath County Appraisal District can tell you which of the units that tax your Stephenville address offer one.
This is a statewide rule that works the same way in every Texas county. What is local is who you file with and what the local units have chosen to adopt.
How do I apply for a homestead exemption in Erath County?
You apply with the Erath County Appraisal District, and the Comptroller's page lists Form 50-114 as the application. The Texas Comptroller's county directory lists the district at 1195 W. South Loop, Stephenville, TX 76401, phone 254-965-5434, with the website www.erath-cad.com.
The steps are short:
- Make sure the home is your principal residence.
- Get the application from the district (Form 50-114).
- File it with the Erath County Appraisal District.
- Keep a copy for your records.
The Comptroller's page says that a buyer who acquires a property after Jan. 1 may receive the exemption for the applicable part of the tax year once qualified, if the previous owner did not receive it for that year. The page does not spell out the details, so ask the district how it handles a mid-year purchase.
What this means for Stephenville buyers and sellers
If you're buying: Don't assume the seller's tax bill is your tax bill. The previous owner may have had exemptions you will have to apply for yourself. When you compare monthly payments between homes, ask your lender how they estimate taxes, and ask your agent to point you to the current figures.
If you're selling: Tell your buyer the exemptions are the owner's to claim, and point them to the appraisal district. A buyer who knows the process ahead of time is less likely to be surprised in the first tax season.
For everyone: The City of Stephenville's tax rate page lists an average homestead taxable value of $231,215 for 2026, with a city tax of $993.53 on that average, up $117.55 from the year before. Those are the city's numbers for the city portion of the bill only. County, school, and other taxing units add their own, and your own home may differ from the average.
My take: what I'd do right now
- Ask for the exemption date up front. When you go under contract, put the appraisal district's phone number in your closing checklist.
- File as soon as you've closed and moved in. Don't wait for the spring rush.
- Check the other exemptions. If anyone in the household is 65 or older, ask the district about the additional exemption.
- Don't count on a lower bill. No exemption is a guarantee of a particular tax amount, and rates change every year.
- Check with your CPA, attorney, and lender about how this fits your own tax and financing picture.
Frequently asked questions
Is the Texas homestead exemption automatic when I buy a house in Stephenville?
No. The Texas Comptroller says owners generally must apply to the appraisal district in the county where the property is located, which here is the Erath County Appraisal District. Ask the district about timing for your closing date.
How much is the school district homestead exemption in Texas?
The Texas Comptroller's exemptions page says school districts must provide a $140,000 exemption on a residence homestead, plus an additional $60,000 for homeowners 65 or older. Check with the appraisal district for any exemptions offered by other taxing units.
What is the deadline to file a homestead exemption in Erath County?
The Comptroller says the general deadline for filing an exemption application is before May 1. Ask the Erath County Appraisal District how a purchase made after Jan. 1 is handled.
This Week in Stephenville (Oct. 12-19)
Tarleton State Homecoming Football Game vs. Central Arkansas
- When: Sat., Oct. 17, 6 p.m.
- Where: Memorial Stadium, Tarleton State University, Stephenville
- Details: Tarleton Athletics football schedule
More happenings are on the Visit Stephenville calendar and the City of Stephenville calendar.
Let's talk
Buying or selling in Stephenville and want help sorting out what to ask about taxes before you sign? I'd be glad to talk it through. Call me at 682-500-1931, email karen@moorehomeandranch.com, or send a message here. You can also browse my current listings. For the city's rate story, see my earlier post on the 2026 city tax rate.
Sources
- Texas Comptroller, Property Tax Exemptions, accessed Oct. 12, 2026
- Texas Comptroller, Erath County appraisal district directory, accessed Oct. 12, 2026
- City of Stephenville, Tax Rate Info, accessed Oct. 12, 2026
- Tarleton Athletics, football schedule, accessed Oct. 12, 2026
Information is deemed reliable but not guaranteed and is for general purposes only. Karen Fox, REALTOR®, Moore Home & Ranch Realty. Equal Housing Opportunity.