1st Property Tax Raise Increase In Over 30 Years

San Antonio city officials are considering a landmark change: the first property tax rate increase since the 1990s. If approved, the rate would rise from 54.159 cents to 55.406 cents per $100 in property valuation—affecting homeowners citywide.

For a home valued at $235,000 with a homestead exemption, that translates to an annual increase of $57 to $67—or roughly $5 more per month.

⬇️ Why the City Is Considering a Tax Hike Now

Despite rising appraisal values in recent years, growth has slowed dramatically. In 2025, property values are projected to grow by just 1.5%, forcing San Antonio to consider rate adjustments to keep city revenues stable. Meanwhile, other revenue sources have softened:

• Sales tax growth is lagging behind expectations

• Airport revenue is underperforming relative to projections

These shortfalls are placing pressure on city services and creating a gap that the budget must address.

🗓️ Timeline & Next Steps

If the City Council approves the proposal in September 2025, the adjusted rate would take effect beginning in the 2026 fiscal year. That upcoming vote could very well mark the end of a multi-decade pause on rate increases.

💬 What This Means for Homeowners & Buyers

Although the increase is modest, it may still factor into financial decisions:

• ❓ Would this sway your decision to buy, sell, or hold?

• 🧾 Are you budgeting for monthly expenses next year?

• 💼 Buyers and sellers: this is one more cost to keep in mind when considering property value projections and affordability.

“As a local realtor in San Antonio, I stay on top of city budget news so you don’t have to,” Tre Serrano explains. “A small tax increase may seem minor, but it can influence how people budget and plan next year’s expenses.”

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