Your neighbor may have a property very similar to yours. Same size, same number of rooms, maybe even the same builder. Yet their property tax bill is lower than yours. How is that possible?

Here are 5 common reasons — and what you can do to reduce your own tax bill.

1. Why does my neighbor pay less property tax?

They qualify for exemptions you don’t.

Texas offers several property tax exemptions that reduce the appraised value.

If your neighbor is:

• Age 65 or older
• A veteran, disabled veteran, or surviving spouse
• A surviving spouse of a first responder killed in action

…they could qualify for partial or total exemptions you don’t.

✅ What you can do

• Claim your homestead exemption if your Texas home is your principal residence.
• Explore other types of exemptions you may qualify for.

2. Did you make improvements before the tax assessment?

Renovations and additions (pools, garages, decks, marble countertops) increase your appraised value.
Your neighbor may have waited until after the assessment to remodel.

✅ What you can do

• Time major improvements for after the appraisal date.
• Keep receipts to separate normal repairs (not taxable) from improvements.

3. Does curb appeal affect property taxes?

Yes.

A house that looks fancy from the outside signals “higher value” to assessors.
Your neighbor’s simpler exterior could be saving them money.

✅ What you can do

• Keep your property well-kept but modest.
• Don’t overspend on flashy curb appeal if you want to minimize your tax bill.

4. Should you be present during the tax assessor’s visit?

Yes. If you’re not there, the assessor may assume your home has high-end finishes.
Your neighbor may have walked the assessor through, pointing out wear and tear.

✅ What you can do

• Be present and walk your assessor through your property.
• Point out cracks, leaks, and repairs needed — these lower appraised value.

5. Has your neighbor appealed their appraisal notice while you haven’t?

This is the biggest reason. Homeowners who appeal regularly often win lower values.
Your neighbor may be paying less simply because they protested — and you didn’t.

✅ What you can do

• File an appeal of your appraisal notice.
• Research comparable properties nearby.
• Use SquareDeal’s comparable equity grid to find strong evidence.

📝 FAQ: Why Your Neighbor’s Property Tax Bill Is Lower

Q: Why is my neighbor’s property tax bill lower than mine?
A: They may qualify for exemptions, made fewer improvements, kept curb appeal modest, walked the assessor through, or filed an appeal.

Q: How do I check if I qualify for exemptions in Texas?
A: Review Texas property tax exemptions such as homestead, over-65, disabled, or veteran.

Q: Can I lower my property tax bill without moving?
A: Yes. By claiming exemptions, timing improvements, being present for the assessment, and filing an appeal.

Q: What is the deadline to appeal my Texas property tax appraisal?
A: Generally by May 15th or 30 days after your appraisal notice, whichever is later.

Have questions? Use the comments section below to ask. We respond to all questions!