Can I defer my property taxes in Texas if I'm over 65?

Yes. A Texas homeowner 65 or older can defer property taxes on their residence homestead by filing Comptroller Form 50-126 with the appraisal district. Deferral stops foreclosure and delinquency penalties while it is in effect, but the taxes keep accruing at 5 percent annual interest under Tax Code 33.06 and eventually come due.

Deferral is a pause, not a discount

This is the single most important thing to understand before filing, and it is the thing that gets lost when the option is described as tax relief.

A deferral does not reduce, forgive or cancel anything. The taxes are still assessed. They still accrue. What the deferral does is stop collection activity on the residence homestead while it is in place — no foreclosure on the homestead for those taxes, and the ordinary delinquency penalties do not pile up in the usual way during the deferral period.

The balance grows the entire time. At some point it is paid, in full, with interest.

The interest rate is 5%, and it is in the statute

Texas Tax Code §33.06(d): "The annual interest rate during the deferral or abatement period is five percent instead of the rate provided by Section 33.01" (Tax Code §33.06).

Five percent annually, substituted for the ordinary delinquent-tax rate. That is a real benefit relative to standard delinquency, and it is still compounding growth on a balance that is not being paid down.

Run the arithmetic honestly before deciding. On a Boerne-area homestead where the combined rate across the school district, city and county runs well above 1.8 per $100 of taxable value, a deferred year is a meaningful sum, and five deferred years at 5% is a number worth putting on paper — alongside what the property is likely to be worth when the bill comes due.

How to file, and where

File Comptroller Form 50-126, Tax Deferral Affidavit, with the appraisal district for the county where the property sits. Not the tax office, not the city.

For a Boerne or Kendall County homestead, that is the Kendall Appraisal District (kendallad.org). Boerne is the county seat of Kendall County. It is not in Bexar County and not in the City of San Antonio, so Bexar CAD's forms and procedures are not the ones that apply.

The deferral applies to the residence homestead. It is not a tool for a rental, a second home or acreage held for investment.

Exhaust the exemptions first

Deferral is the option of last resort, and a surprising number of people reach for it while leaving the free benefits unclaimed. Before deferring, confirm every one of these is actually posted on the account:

The general residence homestead exemption — $140,000 at the school district for 2026, raised from $100,000 by Proposition 13, approved by voters in November 2025 and implemented through SB 4, 89th Legislature (Texas Comptroller).
The additional $60,000 school district exemption for owners 65 or older or disabled, plus any local option of at least $3,000 that other taxing units have adopted (Texas Comptroller).
The school tax ceiling, which freezes school district taxes at the amount for the year the owner qualified.
Any local freeze. Kendall Appraisal District names the City of Boerne, Boerne ISD, Comfort ISD and Kendall County as jurisdictions offering over-65 and disability freezes (Kendall AD).
Any disabled veteran exemption, which for a qualifying veteran can be a total exemption on the homestead.

Also check whether the value is right. A protest is free and the deadline is May 15, or 30 days after the district mails the notice of appraised value, whichever is later (Texas Comptroller).

An exemption that was never filed, or a value that was never challenged, is a cheaper fix than borrowing against the house at 5%.

What ends a deferral

The deferral is tied to the owner and the homestead. When the qualifying owner no longer owns and occupies the property as a residence homestead — on a sale, a move, or a death — the deferral ends and the accumulated taxes and interest become payable. The statute provides a period for payment after the deferral ends before ordinary delinquency consequences resume; the exact timing and mechanics for a specific situation are a question for a Texas real estate attorney.

Practical consequences that follow from that:

Selling the house pays it off. A deferred balance is settled out of the sale, which reduces the seller's proceeds. Anyone planning to downsize should know the number before they price the house.
Heirs inherit the obligation, not a forgiveness. A family expecting a clear house may be looking at a substantial balance against it.
It affects the estate's options. Whether the heirs can keep the property often turns on whether they can pay or refinance that balance.

Nobody should file a deferral without the family knowing it exists.

The mortgage problem

If the property carries a mortgage, this is not automatically available in practice.

Most loan agreements require the borrower to keep property taxes current, and many loans escrow taxes and pay them directly. A deferral can conflict with those terms, and the servicer may advance the taxes anyway and bill the borrower. Whether a deferral is compatible with a particular loan is a question for the lender or servicer, in writing, before filing.

The homeowners who use deferral most cleanly are the ones who own the home free and clear.

The honest way to think about it

A deferral converts a current cash problem into a growing lien on the house. For a homeowner on a fixed income with substantial equity and no intention of moving, that trade can be entirely rational — the equity is there precisely to be used, and 5% is far better than the alternatives available to someone who cannot pay.

For anyone planning to sell within a few years, or who wants to leave the house unencumbered, it usually is not. The balance simply arrives at the moment the equity was going to be used for something else.

Eligibility, the current form and the deferred balance on an account are all determined by the appraisal district and the tax office. The estate and title consequences belong with a Texas real estate attorney, the financial and tax consequences with a CPA, and loan compatibility with the lender.

Questions about a specific property?

Call or text 830-446-3847 · Email heath.shepard@kw.com

This page explains how the Texas over-65 property tax deferral works. It is not legal or tax advice. Eligibility is determined by the appraisal district; estate and title consequences belong with a Texas real estate attorney and financial consequences with a CPA.