From 2013 through 2019, our property tax has gone up 34%, or 5.7%/yr on average. Assessed value is up 42% over the same period, or 7%/yr on average. The average tax rate declined slightly from 2.44% to 2.30%.
Most of that increase came in the last 2 years when the appraised value increased more than 10%. In Texas, with a homestead exemption, increases in assessed value are capped at 10%/yr. So last 2 years, our taxes have gone up 10% per year. Our rental property (no homestead exemption) has gone up 68% since 2012 (when we bought it) on a 76% increased in assessed value.
From 2005 (when we bought our house) through 2014, property taxes were basically flat, mostly due to the impact of the recession on property values. Since buying the house 14 years ago, the average increase in property tax is 2.1% per year, which seems more reasonable for the whole business cycle.
As property values have shot up last few years, the city and county have been lowering their rates. Those taxes have been very reasonable. But the school district typically holds the rate flat and they are 65% of the total tax. So our school taxes go up in sync with property value increases. School funding in Texas is a mess to put it mildly. Supposedly the state legislature just passed some school property tax reform but I remain highly skeptical.