Key Takeaways
- San Antonio homes are now sitting 86–97 days on market — up from 55–65 days two years ago — signaling a decisive shift to a buyer's market.
- Over 54.5% of active listings have undergone price reductions, with an average cut of $23,000–$28,000.
- Housing inventory has reached 5.9–6.1 months of supply, crossing the threshold that defines a buyer's market (6+ months).
- Closed sales volume is down approximately 19% year-over-year, meaning fewer buyers are competing at current price levels.
- BCAD sets values based on January 1 market conditions — but the softening trend has continued, meaning many assessments already overstate current reality.
- A successful 2025 protest carries forward via BCAD's rollover provision — effectively protecting your value for two years.
- The new $140,000 school district homestead exemption reduces your tax bill, but it does not fix an overassessed value. Protesting does both.
San Antonio's median days on market has stretched to 86–97 days as of early 2026, with months of supply approaching 6.0 and over half of all listings undergoing price reductions.
Every property tax protest is built on evidence. The stronger the evidence that market conditions have softened, the wider the gap between what BCAD says your home is worth and what it would actually sell for today. That gap is your case — and in 2026, it has never been wider.
The market data
Here is what San Antonio's housing market looks like as we enter the 2026 protest season, compared to conditions one year ago.
Market data compiled from SABOR monthly reports, Zillow Housing Data (San Antonio MSA), and Redfin Data Center. Closed sales and days-on-market figures reflect the San Antonio-New Braunfels metropolitan statistical area.
Every one of these indicators points in the same direction: the market is softer than it was when BCAD last set your assessed value. That divergence is the foundation of a strong protest.
Why soft markets create the widest protest gaps
BCAD appraises all property as of January 1 of the tax year, using data collected in the months leading up to that date. When the market is rising, BCAD's values tend to track reality because the trailing data still reflects upward momentum. When the market is falling, a lag develops — BCAD's models are calibrated on data that predates the decline.
This is not a flaw in BCAD's methodology. It is an inherent limitation of mass appraisal — the system is always looking in the rearview mirror.
In a soft market, that lag creates opportunity. Your January 1, 2026 assessed value was set using market data from 2025 — a year when the softening was already underway but had not fully materialized. By the time you receive your Notice of Appraised Value in April 2026, market conditions have continued to soften. The gap between your assessed value and current market reality may be thousands of dollars wider than it was on January 1.
The best protest evidence captures this lag effect: comparable sales that closed in late 2025 and early 2026, showing actual transaction prices below BCAD's assessed values for similar properties. These sales are direct evidence that the January 1 valuation overstates current market value.
The carry-forward provision doubles your savings
BCAD's Board of Directors unanimously adopted a "protest rollover" provision in September 2024. Properties that successfully protested their 2025 valuation will not see a market value increase for 2026 unless there is new construction or "clear and convincing evidence" to justify a change.
This means a successful 2025 protest is not a one-year benefit — it locks in your reduction for two years. And if you protest again in 2026 and win a further reduction, that new lower value becomes the baseline going forward.
In a declining market, this compounds. Each year's protest builds on the prior year's reduction, creating a lower assessment trajectory that saves money every year the value stays lower.
Proposition 13 and the $140,000 exemption — why you still need to protest
The new $140,000 school district homestead exemption (Proposition 13, November 2025) is the largest single property tax relief measure in Texas history. For a homeowner in a Northside ISD area, it reduces school district taxes by roughly $1,400 per year on a $300,000 home.
But exemptions and protests address different problems.
- Exemptions reduce the taxable value base — the amount each entity multiplies by its rate. They are fixed by law and apply automatically once you file.
- Protests reduce the assessed (appraised) value — the starting number before exemptions are subtracted. This reduces your tax bill across every entity simultaneously.
Exemptions and protests are not either/or — they stack. Claim every exemption you qualify for AND protest your assessed value. A homeowner with a $140,000 school exemption who also wins a $20,000 protest reduction saves roughly $1,400 (exemption) + $460 (protest at ~2.3%) = $1,860 per year total. Skipping the protest leaves $460 per year on the table — $2,300 over five years.
Savings math: what a protest is worth in 2026
Here is a concrete example using current market conditions.
A $40,000 reduction is well within the range of what San Antonio homeowners are achieving in the current market. The average successful protest in Bexar County resulted in a value reduction of approximately $19,280 — and that was in a less favorable market environment. With 2026's wider gap between assessed values and actual sale prices, larger reductions are achievable.
At the individual property level, the overassessment data shows approximately 40% of Bexar County homes are assessed above their actual market value. In a soft market, that percentage is likely even higher — and the dollar gap is wider.
For an overview of exactly how property tax rates work across all taxing entities, including school district comparisons and exemption details, see our complete rate breakdown.
The 2026 protest deadline is May 15 or 30 days after your Notice of Appraised Value, whichever is later. File early — it gives your representative more time to build the strongest possible case with the latest market data.
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Methodology
All market data in this analysis is sourced from primary institutional and industry sources. Statistics reflect conditions as of Q4 2025 through Q1 2026.
Days on market, inventory, and sales volume are from SABOR monthly market reports for the San Antonio-New Braunfels MSA.
Price reduction data (54.5% of listings with cuts, average cut amounts) is from Realtor.com and Redfin Data Center metro-level reports.
Zillow Home Value Index data is from Zillow Research, reflecting the San Antonio MSA as of early 2026.
Tax rate calculations use the approximate combined rate of 2.29% per $100 for a Northside ISD area property, based on Tax Year 2025 published rates from Bexar County.
Rollover provision information is from BCAD's September 2024 Board of Directors resolution, as reported in the BCAD 2025 Annual Report.
Sources:
- San Antonio Board of Realtors (SABOR)
- Zillow Research — San Antonio Housing Data
- Redfin Data Center
- Realtor.com — San Antonio Market Trends
- BCAD Annual Report 2025
- Bexar County 2025 Official Tax Rates
Common questions
Why is 2026 a particularly good year to protest property taxes in San Antonio?
Multiple market indicators have converged to create the widest gap between BCAD assessed values and actual market value in years. Homes are sitting 86–97 days on market (up 40%+ from two years ago), over 54% of listings have price reductions, sales volume is down ~19%, and the Zillow Home Value Index has declined. Because BCAD sets values based on January 1 conditions using trailing data, the assessed values are likely to overstate current market reality by an unusually large margin.
How does the protest rollover provision work?
BCAD's Board of Directors adopted a rollover provision in September 2024. If you successfully protested your 2025 valuation, BCAD will carry that lower value forward to 2026 without increase — unless there is new construction or clear and convincing evidence to justify a change. This effectively doubles the value of a successful protest by protecting your reduction for two consecutive years.
I got the $140,000 exemption — do I still need to protest?
Yes. The $140,000 school district homestead exemption and a protest address different problems. The exemption reduces the taxable base for school taxes only. A protest reduces the assessed value that every taxing entity multiplies by its rate. They stack — claiming the exemption saves roughly $1,400/year in school taxes, while a $20,000 protest reduction saves an additional ~$460/year across all entities. Skipping the protest means leaving money on the table every year.
What market evidence should I gather for my 2026 protest?
Focus on evidence that demonstrates the gap between BCAD's January 1 assessed value and actual market conditions: recent comparable sales that closed for less than your assessed value, days on market data for your area, sale-to-list price ratios showing homes selling below asking, and price reduction histories for comparable listings. The more recent the data (late 2025 through early 2026), the more it captures the ongoing market softening that BCAD's trailing data may miss.