The kids have moved out. The extra bedrooms have become storage rooms, and the yard takes your whole Saturday. If you have started wondering whether you still need this much house, you are not alone.
According to the National Association of REALTORS® (NAR), the typical home seller in its 2025 report was 64 years old, the oldest on record, and had lived in their home for 11 years. Here is how to think through downsizing, including a Texas tax rule for homeowners 65 and older that is easy to miss.
Quick answer: A smaller home may mean less upkeep. In Texas, homeowners 65 and older who have a school district tax ceiling can transfer a percentage of that ceiling to a new home, using a certificate from their current appraisal district.
Signs It Might Be Time
Ask yourself:
- Are there rooms you have not used in months?
- Does maintenance, from the yard to the stairs, feel like more work than it used to?
- Would a single-story home make daily life easier now or in a few years?
- Do you want to live closer to family, or to the places you actually go?
If you answered yes to several, it may be worth exploring your options. There is no deadline. Talking it through does not commit you to anything.
What to Look For in Your Next Home
Think about how you want to live for the next 10 years, not just the next one:
- One level or a primary bedroom on the first floor
- Less yard or a community that handles some of the outdoor maintenance
- Room for visitors, like one guest room instead of three spare bedrooms
- Location, whether that means near grandkids, your doctors, or your favorite restaurants
The Texas Tax Rule Downsizers Should Know
If you are 65 or older, two Texas property tax benefits matter when you move.
A bigger school exemption. Since voters approved Propositions 11 and 13 in November 2025, Texas homeowners 65 and older or disabled can receive a combined $200,000 exemption from their home's value for school district taxes.
A school tax ceiling that can move with you. When you qualify for the age 65 or older homestead exemption, the Texas Comptroller says your school district taxes on that home cannot increase as long as you own and live in it, except for increases from improvements.
If you move, the ceiling does not stay at the same dollar amount. Instead, a percentage of the ceiling can transfer to your new home anywhere in Texas. Here is the example Texas appraisal districts use:
- You pay $100 in school taxes with the ceiling, but you would pay $400 without it. You are paying 25%.
- At your new home, school taxes would normally be $1,000 in the first year.
- Your new ceiling would be $250, or 25% of $1,000.
How to transfer it: Request a tax ceiling certificate (Comptroller Form 50-272) from the appraisal district that granted your current ceiling. Then give it to the appraisal district for your new home when you apply for homestead exemptions there.
Tip: Ask both appraisal districts how the transfer will work before you close on the new home.
Start Decluttering Early
Years in one home means a lot of stuff. Start with one room or one closet at a time, and decide what to keep, give to family, donate, or sell. Starting early gives you time to make those decisions without rushing.
Another Option: Sharing a Home With Family
Some families decide to buy one home together instead of downsizing alone. If that idea interests you, see Buying a Home With Your Parents or Adult Kids.
Frequently Asked Questions
Can I keep my over-65 tax freeze if I move in Texas? Not as the same dollar amount, but a percentage of your school district tax ceiling can transfer to a new home anywhere in Texas. Request a tax ceiling certificate from your current appraisal district and present it when you apply for exemptions on the new home.
How much is the over-65 homestead exemption in Texas? Since the November 2025 constitutional amendments, homeowners 65 and older or disabled can receive a combined $200,000 exemption from their home's value for school district taxes.
How long do people usually stay in a home before selling? The typical seller in NAR's 2025 report had lived in their home for 11 years, the longest on record.
Ready to Talk About Your Next Chapter?
There is no pressure and no timeline. Ryan Adams and The Adams Group TX can help you see what your current home might sell for and what your next home could look like. Call us at (832) 308-7633 or visit us at 5822 Sienna Parkway, Suite 500, Missouri City, TX 77459.
