Hidalgo County property tax assessments suggest that two-thirds of homes have been over-valued by the Hidalgo County Appraisal District. The typical home in Hidalgo County has been valued for 2023 at 107.4% of market value, based on a study of 524 home sales during January 2022 to March 2023. The median time-adjusted sales price is $200,000 versus the median assessed value set by Hidalgo County Appraisal District of $210,346.
Owners who do not protest will pay an extra $279 in property taxes based upon analysis by O’Connor. Most Texas appraisal districts have over-shot 100% of market value in valuing houses. Home prices soared 11% during January 2022 to September 2022, but then fell 15% through January 2023. Hidalgo median home sale prices rose from $210,730 in January to $234,250 in September before falling back to $200,000 in January 2023.
Texas Tax Code is clear that the effective date for property tax assessments is January 1 (23.01). However, it appears many appraisal districts have used sales price data from throughout the year rather than the January 2023 effective date.
Hidalgo County property tax assessment generated by the Hidalgo County Appraisal District for homes rose 21.9%. Contrast this to the 5% decline in median home prices calculated by O’Connor for the 524 sales during January 2022 to March 2023. The gap between the increase in assessments by Hidalgo County Appraisal District and the median time adjusted sales price is 26.5% (21.9% increase in assessment + 5% decline in median sales price).
| County | Median Level of Assessment | Median Sales Price (1) | Median 2023 Tax Assessment | Extra Taxes Due to Over Assessment (2) |
| Brazoria | 111.8% | $280,000 | $333,830 | $1,453 |
| Bexar | 104.6% | $282,073 | $297,325 | $412 |
| Collin | 101.9% | $490,000 | $498,759 | $236 |
| Fort Bend | 108.1% | $370,040 | $402,442 | $875 |
| Galveston | 112.5% | $298,900 | $338,290 | $1,064 |
| Harris | 116.2% | $275,008 | $322,400 | $1,280 |
| Hays | 101.3% | $432,250 | $436,660 | $119 |
| Hidalgo | 107.4% | $200,000 | $210,346 | $279 |
| Lubbock | 97.7% | $235,000 | $229,814 | ($140) |
| Montgomery | 103.5% | $321,250 | $335,680 | $390 |
| Nueces | 122.7% | $229,500 | $282,915 | $1,442 |
| Travis | 111.8% | $500,000 | $563,156 | $1,705 |
| Webb | 101.7% | $201,450 | $205,688 | $114 |
| Williamson | 96.7% | $428,595 | $417,498 | ($300) |
| (1) Time adjusted sale price as of January 2023 |
| (2) Extra taxes based on 2.7% tax rate and before homestead exemption and tax rate compression, |
Hidalgo County homes assessments increased between just over 20% to just over 32%, depending on the value of the house, with homes in the $1M to $1.5M range seeing the greatest increase.
Larger Hidalgo County residential property increased in assessed value the most. Property over 8,000 sq. ft. increased in taxable value by over 31%.
Hidalgo County increased assessments the most for older homes built prior to 1960, with values escalating by 26%.
Commercial property owners faced even more daunting challenges. The typical increase in assessed value generated by Hidalgo County Appraisal District is a whopping 25.1%.
| Property Type | 2022 Final Market Value | 2023 Notice Market Value | increase% |
| Apartment | $3,160,986,783 | $5,002,454,261 | 58.3% |
| Office | $2,434,321,897 | $2,668,034,808 | 9.6% |
| Retail | $1,817,224,953 | $2,152,096,328 | 18.4% |
| Warehouse | $356,124,543 | $467,380,269 | 31.2% |
| Hotel | $355,127,649 | $605,837,981 | 70.6% |
| Land | $5,713,151,972 | $6,419,278,328 | 12.4% |
| Total | $13,836,937,797 | $17,315,081,975 | 25.1% |
The overassessment of homes and the massive increases in commercial assessments will no doubt lead to an all-time record level of protests. The noticed value from Hidalgo County Appraisal District IS FINAL UNLESS YOU PROTEST. The protest deadline is May 15th, 2023. Be sure to include a note asking the Hidalgo County Appraisal District to mail you the hearing evidence. There is no cost to have it mailed to you and it will generally support a reduction.
Commercial property assessments in Hidalgo County have surged the most for property built in 2001 and later.
When evaluating Hidalgo County commercial property by value range, it is obvious that owners of property over $5M are seeing the most alarming increases in assessment, up as high as 48% for 2023.
In Hidalgo County newer apartments built in 2001 and more recently have an astounding 62.7% increase in assessed value.
The greatest increase in assessed value by year built for office property in Hidalgo County is 14.6% up for the range 1961 to 1980, followed by a 10.4% jump for offices constructed 2001 and after.
When analyzing commercial retail property in Hidalgo County, the steepest climb in assessed value is for the range of property built in 2001 and later, up 19.2% for 2023.
The reverse holds true for warehouse property in Hidalgo County, with older warehouses built prior to 1960 taking the steepest climb in assessed value at almost 52%.
Office buildings in Hidalgo County have increased in assessed value by 10%
Assessed values for Hidalgo County apartments have increased astronomically across all sub-types, with values going up between 55.4 to 72.2%.
Among retail sub-types, mall property owners in Hidalgo County face the greatest increase in 2023 assessed value with a leap of over 40%.
Warehouse property assessments in Hidalgo County are up over 36% for mini warehouse owners.
Whether you are a residential or commercial property owner in Hidalgo County or in other counties across the state of Texas, you do not have to accept the new appraisal value, it is your right to appeal. Don’t pay more than your fair share. Record levels of property tax protest are expected to follow. The deadline to file a property tax protest is May 15th.
About O’Connor:
O’Connor is among the largest property tax consulting firms in the United States, providing residential property tax reduction services in Texas, Illinois, and Georgia, as well as commercial property tax reduction services across the United States. O’Connor’s team of professionals possess the resources and market expertise in the areas of property tax, cost segregation, commercial and residential real estate appraisals. The firm was founded in 1974 and employs more than 600 professionals worldwide. O’Connor’s core focus is enriching the lives of property owners through cost effective tax reduction.
Property owners interested in assistance appealing their assessment can enroll in O’Connor’s Property Tax Protection Program ™ . There is no upfront fee, or any fee unless we reduce your property taxes, and easy online enrollment only takes 2 to 3 minutes.
