Buying in Cibolo or Schertz With a 100% VA Rating

Do 100% disabled veterans pay property tax when they buy a home in Cibolo or Schertz?

Not on the home they live in, but only once they own it. Under Texas Tax Code §11.131, a veteran getting 100% VA disability compensation (a 100% rating or individual unemployability) owes $0 in property tax on their residence homestead, starting the day they qualify. You file after closing. Your lender may still escrow full taxes at first, and the seller's share of the year gets settled at the closing table.

By Anthony Sharp | November 3, 2026

If you're rated 100% P&T and shopping in Cibolo or Schertz, you've probably already wondered whether you can get the exemption applied before closing. Plenty of veterans ask the same thing on Reddit.

One Comal County buyer said they filed the exemption form online and waited about 40 days for the exemption letter. Another vet's lender applied it as a partial exemption, and it took a $0 tax bill from the county to get their escrow fixed.

Here's the honest truth: the exemption is huge, but the paperwork runs on its own clock. Line it up right and you get more house for the same payment. Line it up wrong and you overpay escrow for months.

So we're on the same page, here's how it works from contract to that first $0 tax bill.

Photo: Jonmallard, CC BY-SA 4.0, via Wikimedia Commons

What the 100% exemption changes about your budget

In a lot of Texas suburbs, property tax is the biggest line on your monthly payment after principal and interest. Take it to zero and two things happen.

1. Your monthly payment drops. A quick way to see it: every 1% of combined tax rate on a $600,000 home is $6,000 a year, or $500 a month. Your combined rate stacks county, city, school district, and any MUD. For the home you're looking at, look up the combined rate for your exact address on the county tax office or appraisal district site. A common tip on r/sanantonio is to skip the estimates on online finance calculators and check the actual county tax rolls instead.

2. Your buying power can go up, if your lender's policy allows it. This is where people get surprised. Some lenders will qualify you using the exempt tax figure if you're 100% P&T, have applied before closing, and sign an attestation. Others use full taxes until the county shows $0. Neither is wrong; it's policy.

My recommendation: ask every lender you interview, in writing, "Will you qualify me and set my escrow using the 100% disabled veteran exemption, and what do you need from me to do that?" That one answer can move your price range.

One more VA perk stacks on top: no VA funding fee. VA.gov is clear: if you receive VA compensation for a service-connected disability, you don't pay it. On a first-use, zero-down purchase that's 2.15% of the loan you keep.

On new builds around Cibolo, Schertz, and Mayfair, this math adds up fast.

How the exemption works from contract to closing

Quick why: Texas only grants a homestead exemption on a home you own and live in. Until you close, it isn't your homestead, so no appraisal district can approve the exemption ahead of time.

Here's the sequence I walk clients through:

• At contract: tell your lender and title company you're 100% P&T (or IU). Send your current VA benefit summary letter showing your rating and compensation level.
• Before closing: update your Texas driver's license or ID to the new address as soon as you can. The appraisal districts use it to match you to the home. If you're still carrying an out-of-state license, ask the district what it will accept.
• At closing: the seller still owes tax for the days they owned the home that year, and that's settled at the closing table. Some lenders won't let you take that seller tax credit as cash; ask your lender and title company how it will be applied.
• Right after closing: file Form 50-114 (residence homestead application, with the 100% disabled veteran section) with your appraisal district. Attach your VA letter and ID.
• After approval: send the approval letter, or a $0 tax statement, to your loan servicer and ask for an escrow analysis. If they collected tax escrow at closing, that's when you can ask about a refund.

Per the Texas Comptroller, if you qualify after January 1, the exemption covers the rest of that year, and tax is owed only for the part of the year before. You don't wait until next January.

Which appraisal district gets your application

Our cities cross county lines, so check this first.

• Cibolo: Guadalupe Appraisal District, which has an online tool for disabled veteran and homestead exemptions at guadalupead.org.
• Schertz: most addresses are in Guadalupe County, but parts are in Comal or Bexar. Check the property's tax record before you file.
• Selma: split between Bexar, Comal, and Guadalupe.
• Bexar Appraisal District lets you apply online with your Texas ID at the property address plus a current VA letter, and you don't reapply every year.
• Comal Appraisal District: Comal AD's online forms portal is temporarily down; file Form 50-114 by mail, email, or drop-off and check comalad.org/forms for updates.

Photo: Larry D. Moore, public domain, via Wikimedia Commons

Not rated 100%? What you still get, and what isn't covered

Partial ratings still help

If you're rated below 100% and not on IU, Texas Tax Code §11.22 takes a set amount off your home's appraised value. According to the Comptroller:

• 10–29%: up to $5,000
• 30–49%: up to $7,500
• 50–69%: up to $10,000
• 70–100%: up to $12,000

You also get the $12,000 amount if you're 65 or older with at least a 10% rating. That's Form 50-135, and it can go on any one property you own in Texas, not just your homestead. It stacks with the regular $140,000 school homestead exemption (Tax Code §11.13), which you claim on the same Form 50-114. It's smaller than the 100% exemption, but it's free money. File it.

And if you're a surviving spouse of a 100% disabled veteran who hasn't remarried, you can keep the exemption. If you move, the Comptroller says the exemption on your new homestead is capped at the dollar amount you had on the old one.

What $0 tax doesn't cover

So you aren't blindsided at closing:

• HOA dues aren't property tax. If the community has an HOA, budget for them.
• Special assessments may show up on a tax bill but aren't covered by every exemption. Ask your title company to confirm each line.
• Homeowner's insurance stays in escrow.
• Co-ownership: if you buy with someone who isn't your spouse, the exemption may be prorated by ownership share.

Photo: Jonmallard, CC BY-SA 4.0, via Wikimedia Commons

Frequently Asked Questions

Can I get the 100% disabled veteran exemption before I close?

No. Texas only grants it on a residence homestead you own and occupy, so you apply after closing. What you can do before closing is give your lender your VA letter and ask whether they'll qualify you and set escrow using the exemption.

How long does the exemption take after I file?

It varies by appraisal district and time of year. One Comal County buyer on Reddit reported about 40 days to receive the exemption letter. File the week you close, then follow up with the district and your loan servicer.

Does individual unemployability (IU/TDIU) count as 100%?

Yes. The Comptroller says the §11.131 exemption covers veterans receiving 100% disability compensation because of a 100% rating or a determination of individual unemployability.

Do I still pay the VA funding fee if I'm rated 100%?

No. Per VA.gov, if you receive VA compensation for a service-connected disability, at any rating, you're exempt from the funding fee. If your rating comes through after closing and is retroactive to before closing, you may be able to get a refund.

What if I buy in the middle of the year?

The Comptroller says the exemption applies for the part of the year after you qualify. The seller covers the tax for the days they owned it, which is usually handled as a proration at closing.

Your next move

If you're ready to buy in Cibolo, Schertz, or Selma, whether you've got PCS orders to JBSA or you're already here, send me a message with your price range and target move-in date. If you'd like me to factor in a tax exemption you expect to claim, mention it and I'll show your payment with and without it, using real tax rates from the county rolls.

Send me a message →

About Anthony Sharp: I'm a Realtor with Sharp Realty Group, brokered by Real Broker, LLC, and I hold NAR's Military Relocation Professional (MRP) certification. I came to San Antonio in 2015 on PCS orders to Randolph AFB, separated a year later, and stayed, working as a GS-12 Army medical facility manager before getting my license in January 2020. My wife, Tania, served on active duty; we were mil-to-mil for four years at Yokota AB and Incirlik AB. I live and work in the Cibolo and Schertz area.

This post is general information, not tax or legal advice. Exemption rules come from the Texas Comptroller and Texas Tax Code §§11.131 and 11.22; lender policies vary. Confirm your situation with your appraisal district, lender, and title company.

Related reading: Texas Homestead Exemption Guide for Cibolo & Schertz · Buyer Closing Costs in San Antonio · VA Loan vs. Conventional in JBSA · Property Tax Protest Guide: Guadalupe & Comal

Photo: Jonmallard, CC BY-SA 4.0, via Wikimedia Commons