Proposing a constitutional amendment to authorize the legislature to set a lower limit on the maximum appraised value of a residence homestead for ad valorem taxation.

HJR 39 proposes a constitutional amendment to allow the Texas legislature to set a lower annual cap on how much a homestead property's taxable value can increase for property tax purposes. If approved, it would let lawmakers limit the appraised value of a primary residence to the lesser of its most recent market value or 105% (or a higher percentage) of its previous year's appraised value. This would directly affect homeowners who qualify for the homestead exemption under Texas law, as the cap would take effect after they first qualify for the exemption and expire if they later lose eligibility. The amendment requires voter approval in the November 2025 election before taking effect.