Homestead Exemption Basics for New Conroe Homeowners

Buying a home in Conroe comes with a new set of terms and timelines, and the homestead exemption is one you do not want to miss. If you plan ahead, you can lower your property tax bill by reducing the taxable value of your primary residence. If you wait too long or misunderstand the rules, you could lose a full year of savings.

This guide walks you through who qualifies in Texas, how the January 1 rule works, where and when to file in Montgomery County, and how the exemption actually affects your tax bill. You will also see common special exemptions and a simple checklist to keep you on track. Let’s dive in.

What a homestead exemption does

A Texas residence homestead exemption reduces the taxable value of your principal residence. Lower taxable value means you pay less in property taxes once local tax rates are applied. The appraisal district records your exemption on the appraisal roll, and each taxing unit uses that lower taxable value when they calculate your bill.

In Conroe and across Montgomery County, this exemption applies only to your primary residence. It does not apply to second homes or investment properties. You can claim only one residence homestead per owner or household.

Who qualifies in Conroe

Principal residence and the January 1 rule

To qualify for a given tax year, you must own and occupy the home as your principal residence on January 1 of that year. This date is critical. If you meet the January 1 requirement, you can receive that year’s homestead exemption once you file.

One homestead per household

Texas allows one residence homestead per owner or household. You cannot claim homestead exemptions on more than one property at a time.

If you bought after January 1

If you purchased and moved into your Conroe home after January 1, you generally will not receive the exemption for the current year. You become eligible for the next tax year, provided you own and occupy the home on January 1 of that next year. You will need to file by the April 30 deadline for that year.

Ongoing status once approved

You typically do not need to refile every year. Once granted, the homestead exemption remains in place until your ownership or occupancy changes. If you sell, move, add or remove an owner, or change your mailing address, notify the appraisal district.

How to file in Montgomery County

Where to file

File your Residence Homestead Exemption application with the Montgomery County Appraisal District (MCAD). MCAD administers exemptions for properties in Conroe and shares exemption status with local taxing units such as the school district, county, city, and special districts.

What to gather before you apply

Prepare the following items before you start:

• Proof of ownership, such as your deed or closing statement.
• Proof of identity and principal residence, typically a Texas driver’s license or Texas ID card that shows the property address.
• The MCAD Application for Residence Homestead Exemption form.
• The last 4 digits of each owner’s Social Security number if requested on the form.

How and when to submit

Most appraisal districts accept applications by mail, in person, and often online. Check MCAD’s current filing options and any online portal. The statewide deadline to file for a given tax year is April 30 of that year. If you miss the deadline, your application generally takes effect the following tax year.

One-time filing

You typically file only once for a property. If ownership changes or your occupancy status changes, contact MCAD to update your records and reapply if needed.

How exemptions affect your tax bill

Your property tax is calculated from your taxable value and the combined local tax rate. The homestead exemption reduces your taxable value before tax rates are applied.

• Basic formula: (Appraised value − exemptions) × combined tax rate = annual property tax.
• Multiple taxing units: The school district, county, city, and other districts each set a tax rate. The appraisal district’s record of your exemption lowers the taxable value that each unit uses.

Simple example

Consider a hypothetical Conroe home with an appraised value of 300,000. If a homestead exemption reduces taxable value by 25,000, the taxable value becomes 275,000. If the combined local tax rate is 2.5 percent, the annual property tax would be 275,000 × 0.025 = 6,875. This is a simple illustration. Actual exemption amounts and local tax rates vary by taxing unit and year.

School district, county, city, and other entities

Each taxing unit applies its rate to the lower taxable value once your exemption is on the appraisal roll. Some taxing units may adopt optional local exemptions as allowed by state law. Check with MCAD and your local taxing units for current policies.

Mortgage escrow considerations

If you pay property taxes through a mortgage escrow account, notify your servicer once your exemption is granted. It can take a billing cycle or two for the mortgage company to update your escrow estimates and monthly payment.

Special exemptions to know

Homeowners 65 or older and disabled homeowners

Beyond the basic residence homestead exemption, homeowners who are 65 or older or who qualify as disabled may be eligible for additional exemptions. These can include extra value reductions and, for the school district portion of taxes, a freeze that prevents school taxes from increasing as long as eligibility continues. Confirm the current rules and any optional local exemptions with MCAD and your taxing units.

Disabled veterans

Disabled veteran exemptions are set by state statute and vary by disability rating. Many disabled veterans receive significant reductions, up to the full value of the residence homestead in some cases. Surviving spouses of certain disabled veterans may also qualify. Review eligibility details with MCAD.

Surviving spouses

In certain situations, a surviving spouse of a homeowner who had 65-plus, disabled, or disabled veteran status may be able to retain similar benefits. These provisions are specific. MCAD or a qualified tax professional can help you confirm what applies to your situation.

Timeline for new Conroe buyers

• If you closed and moved in on or before January 1: File your homestead application by April 30 to receive the exemption for that tax year.
• If you closed after January 1: Plan to file for the next tax year. Make sure you own and occupy the home on January 1 of that next year and submit your application by April 30.
• After approval: Keep your exemption in place by notifying MCAD if there are any changes to ownership or occupancy.

Quick checklist

Use this short list to keep everything on track:

1. Confirm you owned and occupied the home in Conroe as your principal residence on January 1 of the year you are filing for.
2. Download or pick up the MCAD Application for Residence Homestead Exemption.
3. Gather documents:
   • Deed or closing statement.
   • Texas driver’s license or Texas ID card showing the property address.
   • Last 4 digits of Social Security numbers for each owner if requested.
4. Submit your application to MCAD by April 30. Use mail, in person, or MCAD’s current online option if available.
5. After approval, notify your mortgage servicer so escrow estimates can be updated.
6. Ask MCAD or local taxing units about any optional exemptions that could apply to you, such as 65-plus or disabled homeowner benefits.

Who to contact

• Montgomery County Appraisal District: Questions about eligibility, forms, and filing your Residence Homestead Exemption.
• Montgomery County Tax Office: Questions about billing, payment, and how exemptions appear on your tax bill or escrow.
• Conroe Independent School District and other taxing units: Questions about local exemption policies and rates.
• A local real estate attorney or tax professional: Guidance for complex ownership or special-exemption situations.

Getting your homestead exemption set up is a small task with a big payoff. If you plan ahead for the January 1 rule and file with MCAD by April 30, you will put real savings back in your pocket and avoid surprises at escrow time. If you have questions as you settle into your new Conroe home, our team is here to help you navigate the process and connect you with the right local resources.

If you are ready for friendly, local guidance before or after closing, reach out to The Hometown Team. We serve Conroe and surrounding communities with patient, education-first support.

FAQs

What is a Texas residence homestead exemption and how does it help?

• It reduces the taxable value of your principal residence, which lowers the property taxes you owe once local rates are applied.

Do I qualify for a homestead exemption if I bought my Conroe home after January 1?

• Generally no for the current year. You become eligible for the next tax year if you own and occupy the home as your principal residence on January 1 of that next year and you file by April 30.

Where do I file my homestead exemption in Montgomery County?

• File the Residence Homestead Exemption application with the Montgomery County Appraisal District, which records exemptions for properties in Conroe.

What documents do I need to apply for a homestead exemption in Conroe?

• Proof of ownership (deed or closing statement), a Texas driver’s license or Texas ID card showing the property address, the MCAD application form, and the last 4 digits of owners’ Social Security numbers if requested.

What is the deadline to file a homestead exemption in Texas?

• April 30 of the tax year. Applications filed after April 30 generally take effect the following tax year.

How does the homestead exemption change my mortgage escrow payments?

• Once the exemption is approved, your taxable value drops. Notify your mortgage servicer so they can adjust escrow estimates and monthly payments.

Are there additional exemptions for seniors or disabled homeowners in Conroe?

• Yes. Homeowners who are 65 or older or disabled may qualify for additional exemptions and a school tax freeze, subject to statutory rules. Check details with MCAD and your taxing units.