Property Tax Rates in Travis, Williamson, and Hays County
If you’re buying in the Austin metro, the county your home sits in shapes your monthly payment almost as much as your interest rate does. Property taxes in Central Texas vary significantly across county lines, and the difference adds up fast.
A home priced at $450,000 in Georgetown (Williamson County) can cost $900 to $1,500 more per year in property taxes than a comparable home inside Austin city limits, depending on the school district and any special district levies. Over 30 years, that gap is real money. Understanding how Austin-area property taxes actually work, before you fall in love with a house in a particular zip code, lets you run the true numbers and avoid a payment surprise at closing.
How Texas Property Taxes Work
Texas collects no state income tax. It funds schools and local services primarily through property taxes. Each taxing entity, your county, your city, your school district, and any special districts, sets its own rate. Your total annual bill is the sum of all those rates applied to your home’s appraised value.
The county appraisal district assesses your home’s value each year. The Texas Property Tax Code caps appraisal increases for homesteaded properties at 10% per year. Without a homestead exemption on file, that cap does not apply, and owners who miss filing in their first year typically pay more than they should.
Your effective tax rate is the combined total of all taxing entities. The figures in this post represent approximate effective totals including county, city, school district, and common special district levies. Individual addresses vary. Always verify using the county appraisal district website for the specific property you are considering.
Travis County: What Austin Buyers Actually Pay
Travis County covers Austin proper, portions of Manor, Pflugerville, and several surrounding areas. Effective total rates in most Austin city-limits neighborhoods run between 1.78% and 2.10%, depending on school district and utility district.
Austin ISD (AISD) carries one of the larger school district levy components in the county. Homes in Del Valle ISD or Eanes ISD carry different rates. The City of Austin adds its own municipal levy on top of county and school taxes.
Using the Austin-Area MLS median sold price of $460,000 (Team Price Market Report, May 27, 2026), here is what Travis County taxes look like at a 1.90% effective rate:
- Annual property tax: approximately $8,740
- Monthly escrow contribution: approximately $728
That $728 per month gets added to your principal-and-interest payment. On a $368,000 loan (20% down on a $460,000 home) at 6.50%, principal and interest runs roughly $2,328 per month. Add $728 for taxes and around $120 for homeowner’s insurance, and your all-in monthly obligation approaches $3,176.
Many buyers look at an online mortgage calculator, see the P&I figure, and then feel blindsided when the full PITI (principal, interest, taxes, insurance) payment comes back higher at pre-approval. That gap is almost entirely property taxes.
For a deeper look at how down payment amounts affect the total monthly figure, see our guide to down payment realities at every Travis County price tier.
Williamson County: Round Rock, Cedar Park, Georgetown, Leander
Williamson County sits north and northwest of Travis County and has grown faster than almost any other large Texas county over the past decade. It includes Round Rock, Cedar Park, Georgetown, Pflugerville, Leander, and Liberty Hill.
Effective rates in Williamson County typically run from 1.95% to 2.35%, with some areas going higher because of Municipal Utility Districts (MUDs). MUD districts finance water, sewer, and drainage infrastructure in newer subdivisions where the city has not yet extended those services. A Georgetown subdivision with an active MUD could carry a combined effective rate above 2.40%.
On that same $460,000 home at a 2.10% effective rate:
- Annual property tax: approximately $9,660
- Monthly escrow contribution: approximately $805
That is roughly $77 per month more than the Travis County example above. Over 30 years, the gap totals approximately $27,720 in additional tax payments.
Williamson County buyers should ask about MUD districts before making an offer. In newer developments built after 2010, MUD levies are common. Ask the listing agent for a full tax breakdown of all entities for the specific address. The county rate alone understates the bill in many cases.
Hays County: Kyle, Buda, Wimberley, Dripping Springs
Hays County covers the southwest corridor of the Austin metro, including Kyle, Buda, Wimberley, San Marcos, and Dripping Springs. It has absorbed significant population growth as buyers moved south along I-35 and Highway 290.
Effective rates in Hays County generally run between 1.85% and 2.20%. Like Williamson County, many newer Hays County subdivisions include MUD districts that add to the base rate.
On a $350,000 home in Kyle at a 2.00% effective rate:
- Annual property tax: approximately $7,000
- Monthly escrow contribution: approximately $583
The lower home prices in Hays County often more than offset a slightly higher effective rate. A buyer who stretches to afford a $460,000 home inside Austin might find a comparable house in Buda or Kyle for $340,000 to $370,000, and come out ahead on total monthly payment.
The Homestead Exemption: File It the First Year You Own
Every Texas homeowner who occupies their primary residence as of January 1 of a given year qualifies for the homestead exemption. Filing it does three things that matter:
- Removes $100,000 of appraised value from school district taxation (expanded from $40,000 under 2023’s HB 5).
- Caps annual appraisal increases at 10% for that property, for as long as you own it as your homestead.
- Qualifies you for additional county and city exemptions where applicable.
On a $460,000 home, the school district exemption alone calculates taxes on $360,000 instead of $460,000. At a school district rate of roughly 0.85%, that saves approximately $850 per year. File once with the county appraisal district after closing. The deadline is April 30 of the tax year, but late applications are accepted in many counties.
This is one of the forms most new Texas homeowners forget to file. For other post-closing steps worth knowing about, our self-employed mortgage income guide covers documentation that matters before and after your purchase closes.
How Property Taxes Affect Your Mortgage Qualification
Property taxes are not just an ongoing ownership cost. They directly affect whether you qualify for the loan, because your lender uses your debt-to-income ratio (DTI), calculated on the full PITI payment, not just principal and interest.
General DTI thresholds by loan type:
- Conventional loans: typically 43% to 45% maximum, with some exceptions
- FHA loans: up to 57% in some cases with strong compensating factors
- VA loans: no strict cap, but 41% is the common underwriting guidance
If property taxes in a high-rate area push your PITI above the qualifying threshold, your options include increasing your down payment, buying at a lower price, or looking at a county or school district with a lower effective rate.
In new construction, first-year assessments often reflect land value only. Taxes can jump significantly in year two once the structure is assessed. Ask your loan officer how they handle new construction tax estimates before committing to a purchase price. If gift funds are part of your down payment plan, see our gift funds guide for Texas buyers for what lenders require.
Side-by-Side Comparison at $400,000
| County / Area | Approx. Effective Rate | Annual Tax | Monthly Escrow |
|---|---|---|---|
| Travis (Austin ISD area) | ~1.85% | ~$7,400 | ~$617 |
| Williamson (Georgetown ISD) | ~2.15% | ~$8,600 | ~$717 |
| Hays (Kyle/Buda area) | ~2.00% | ~$8,000 | ~$667 |
Rates are approximate effective totals and vary by specific address, school district, and any applicable MUD or PID levies. Verify the exact rate with the county appraisal district or your title company before finalizing any purchase decision.
Frequently Asked Questions
What is the average property tax rate in Travis County for 2026?
Effective total rates in Travis County typically range from 1.78% to 2.10%, depending on the school district and city that serves the address. On a $460,000 home, that translates to roughly $8,200 to $9,660 per year before homestead exemptions reduce the school district portion. Verify the specific rate for any address at tcad.org.
Are property taxes higher in Williamson County or Travis County?
Williamson County typically runs slightly higher, with many subdivisions in the 2.00% to 2.35% effective rate range, compared to Travis County’s 1.78% to 2.10% range. The gap widens in newer Williamson subdivisions that carry MUD levies on top of county, city, and school rates. Always ask for a full breakdown of all taxing entities for a specific address before making an offer.
How much does the Texas homestead exemption save me each year?
The 2023 expansion raised the school district homestead exemption to $100,000 off your appraised value. At a school district rate of 0.80% to 0.90%, that translates to about $800 to $900 per year in savings. The exemption also caps your annual appraisal increase at 10%. File once with your county appraisal district by April 30 of the year following your closing.
Do property taxes affect how much mortgage I can qualify for?
Yes, directly. Your lender calculates your debt-to-income ratio (DTI) using the full PITI payment: principal, interest, taxes, and insurance. Higher property taxes raise your PITI and raise your DTI. If the total exceeds your loan program’s DTI limit (typically 43% to 45% for conventional), you may need to put more down, buy at a lower price, or look at a county with a lower effective rate.
What is a MUD district and how much does it add to my tax bill?
A Municipal Utility District (MUD) is a special-purpose taxing entity that funds water, sewer, and drainage infrastructure in new subdivisions. MUD levies in Williamson and Hays Counties typically add 0.20% to 0.60% to your effective rate. On a $400,000 home, a 0.40% MUD levy adds $1,600 per year, or about $133 per month, to your escrow payment.
Can I protest my Texas property tax appraisal?
Yes. Each spring, the county appraisal district sends a Notice of Appraised Value. If the assessed value is higher than what comparable homes sold for, you can file a protest. The deadline is May 15 or 30 days from the notice date, whichever is later. A successful protest reduces your taxable value and lowers your annual bill. Many homeowners who protest save $500 to $2,000 per year.
How do I find the exact property tax rate for a specific Austin-area address?
Use the county appraisal district website for that address. Travis County: tcad.org. Williamson County: wcad.org. Hays County: hayscad.com. Enter the address and the site shows all taxing entities and their current rates. Your title company will also prepare a tax estimate based on prior-year bills for the specific property during the purchase transaction.
If you are comparing neighborhoods across county lines and want to see how property taxes affect your qualification before you start touring homes, schedule a discovery call and we will walk through the full payment picture together, no pressure, no commitment, just clarity on what you can actually afford in each area.
Ferrando Financial LLC | NMLS# 2403080 | Licensed in Texas. This content is for educational purposes only and does not constitute a commitment to lend. Loan approval is subject to credit, income, and property qualification. Property tax rates are approximate effective totals and vary by specific address, school district, and annual reassessment cycle. Always verify the exact rate using the applicable county appraisal district website. Sources: Travis Central Appraisal District (tcad.org), Williamson County Appraisal District (wcad.org), Hays County Appraisal District (hayscad.com), Team Price Austin-Area Market Report (May 27, 2026), Texas Comptroller of Public Accounts.
