September 11, 2025

In the aftermath of the devastating July 4 floods, Central Texas continues to grieve the tragic loss of life and the widespread destruction that followed.

The financial realities of rebuilding are starting to take shape through rising property taxes. Homeowners and commercial property owners in Travis and Williamson Counties will see noticeable increases in their 2025 tax bills as local governments work to restore damaged infrastructure, fund emergency services, and prepare for future disasters.

If you own residential or commercial property in these counties, it’s important to understand how tax rates are changing, how much more you may owe, and what relief options might be available if your property was impacted.

Why Taxes Are Going Up in 2025

Following the flooding, both Travis and Williamson Counties received official disaster declarations. This gave them the legal authority to bypass Texas’ 3.5% limit on year-over-year property tax revenue growth. The temporary exception enables local governments to raise more revenue without voter approval and to respond to urgent public needs created by the disaster.

In both counties, the new budgets prioritize:

• Repairing damaged roads, bridges, and drainage systems.
  
  
• Rebuilding and equipping emergency management departments.
  
  
• Replenishing reserve funds that were depleted during the flood response.
  
  
• Addressing broader infrastructure needs tied to continued population growth.
  
  

Travis County: A One-Year Jump to Rebuild

Travis County has proposed a 9.12% increase in property taxes for 2025. Officials expect the rate hike to generate $42 million in additional revenue. These funds are earmarked to repair flood-damaged infrastructure and restore emergency reserves to address washed-out roads, debris removal, and public safety services during and after the storm.

This increase is being described as a one-year solution. The goal is to restore essential services quickly while waiting for delayed state or federal reimbursements.

Estimated additional tax for homeowners (county portion only):

• $500,000 home = ~$175.
  
  
• $800,000 home = ~$280.
  
  
• $1,000,000 home = ~$345.
  
  

Estimated additional tax for commercial properties:

• $1.5 million building = ~$500–525.
  
  
• $2 million building = ~$700–725.
  
  

It’s worth noting that the increases apply only to the county tax rate. Separate taxing entities (e.g., cities, school districts, and utility districts) have their own rates, which are not directly impacted by this disaster-related adjustment.

Comparison to 2024:

In 2024, Travis County stayed within the normal revenue cap and limited tax growth to about 3.5%. The 2025 increase marks a clear break from that pattern, directly driven by extraordinary recovery costs.

Williamson County: A Moderate Rate Increase for Recovery and Growth

Williamson County has adopted a smaller tax rate increase for 2025, moving from approximately $0.40 to $0.413776 per $100 valuation. This new rate is part of a $702 million county budget that addresses flood recovery and the needs of one of the fastest-growing counties in Texas.

County officials have emphasized that this budget includes investments in public safety, emergency management, and transportation improvements, all of which have been strained by the flooding and continued population growth.

Estimated additional tax for homeowners (county portion only):

• $500,000 home = ~$70.
  
  
• $800,000 home = ~$110.
  
  
• $1,000,000 home = ~$137.
  
  

Estimated additional tax for commercial properties:

• $1.5 million building = ~$200–250.
  
  
• $2 million building = ~$275–300.
  
  

Comparison to 2024:

In 2024, homeowners' average county tax increase was about $191, primarily due to rising property appraisals. This year's rate-driven increase is slightly more modest in dollar terms but heavily emphasizes disaster recovery.

Williamson County’s Commissioners Court approved the new tax rate at the adjusted voter-approval threshold allowed by the disaster declaration. This means the county can collect more revenue than normal without triggering a rollback election.

Property Tax Relief for Flood-Damaged Properties

Travis and Williamson Counties offer temporary disaster exemptions that reduce the taxable value of properties damaged by the July 4 flooding. You may qualify if your home or building sustained 15% or more in physical damage.

Key points:

• The exemption applies to both residential and commercial properties.
  
  
• You must file with your central appraisal district within 105 days of the Governor’s disaster declaration (by 10/17/2025).
  
  
• The exemption reduces your 2025 appraised value, which can help offset the impact of the increased tax rate.
  
  

Even if your property qualifies for an exemption, it will not be applied automatically; you must apply before the 10/17/2025 deadline.

What Property Owners Should Do

If you own property in Travis or Williamson County, here are the next steps:

• Review your 2025 property appraisal when you receive it.
  
  
• Compare it to 2024 and check whether your value has gone up, down, or stayed flat.
  
  
• Fight your property tax appraisal every single year. For more info on fighting your appraisal, check out our February 2025 article, Protest Your Property Tax Assessment Now (And Every Year!).
• Budget for a higher county tax bill, especially if your property is valued above $500,000.
  
  
• Apply for the disaster exemption if your property suffered significant damage.
  
  

While property tax increases are never welcome, the 2025 hikes in Travis and Williamson Counties are a direct response to one of the most destructive and heart-wrenching natural disasters Central Texas has ever seen. In Travis County, the increase is substantial, but leaders are signaling it will be temporary. Williamson County's increase is more moderate but reflects the dual pressures of disaster recovery and regional growth.

The key for property owners is to stay informed. The combination of updated appraisals and higher county tax rates could result in unexpected costs, but applying for available exemptions and reviewing your valuation carefully can help ease the impact.

Not sure where to start? Contact us today!

References

Becerra, Stephanie, “Williamson County okays tax hike in $702M budget to boost safety and infrastructure,” CBS Austin News – September 5, 2025, cbsaustin.com.

Cantú, Tony, Taylor Press – "County approves $635M budget" (Williamson FY 2024–25 budget, August 31, 2024), taylorpress.net.

McAfee, Katy, “Travis County proposes raising property taxes to pay for flood repairs,” KUT 90.5 (Austin’s NPR) – July 30, 2025, kut.org.

Sadasivam, Naveena, Texas Tribune/Grist, “After Hill Country floods, families face a difficult question: Rebuild, or let go?" – August 11, 2025, texastribune.org.

Williamson County Public Affairs news release – “Williamson County Approves FY25-26 Budget and Sets Tax Rate,” posted September 4, 2025, wilcotx.gov, cbsaustin.com.