Retire in the Texas Hill Country.
Here Is What It Actually Costs.

55+ Communities in the Texas Hill Country

The Texas Hill Country has a unique 55+ market: no Del Webb, no master-planned resort community, no national builder. What you get instead is the real Hill Country — a small gated community on a hilltop in Kerrville, manufactured homes on leased land next to Ingram Lake, and boutique resale neighborhoods in wine country Fredericksburg. The cost math is completely different from San Antonio or Austin, and most buyers don't understand the land-lease question until it's too late.

The Texas Tax Advantage — What Changes at 65

Texas has no state income tax and no tax on Social Security. For retirees moving from California, Illinois, or Colorado, that is the headline. But the deeper story is what happens at 65 with property taxes.

The $200,000 School District Exemption

As of 2025, Texas homeowners 65 and older receive a combined $200,000 exemption on school district property taxes: $140,000 general homestead (Proposition 13, approved November 2025) plus $60,000 over-65 add-on (Proposition 11). On a $500,000 home in Kerrville, that reduces your school-taxable value to $300,000.

The School Tax Freeze

More importantly, the year you turn 65 your school district taxes are frozen permanently. If your school bill is $2,800 in the year you qualify, it stays at $2,800 even if your home value climbs to $700,000. City and county taxes can still rise, but the school portion — typically 40–55% of the total bill — is locked. This is not means-tested. There is no income limit.

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