We’re two months into the 88th Texas Legislature session, which means we’re finally in the thick of policymaking in the Texas capitol.

In the ongoing session, the Texas REALTORS® 2023 legislative priorities are of utmost importance. The association has nearly 30 priority issues outlined in its official Legislative Priorities book. I highly recommend you read through these issues at www.texasrealestate.com/issues to learn more about the issues that matter most to Texas REALTORS®.

But, of course, this book is a static document, and the Texas Legislature is a fast-paced environment where conversations shift and tides turn in a matter of minutes and hours.

For example, after this book was sent to the printer, the Texas comptroller announced a tremendous surplus of $32.7 billion for the 2024-2025 state budget. That was big news which has shaped the overall tone of the 88th Legislature. There are constitutional provisions that limit the growth of the budget to maintain conservative spending, in addition to other limiting factors. Nevertheless, Realtors are excited for the opportunity to help shape conversations about how those dollars can best serve Texans, protect private property owners and enhance the real estate industry.

One of the most popular ideas for how to spend that money is substantial property tax relief. Realtors have been talking about the need for property tax relief and transparency for years — we promoted the passage of key property tax legislation in 2019 and many times in previous years. Several top lawmakers have said they’re less interested in delivering a taxable one-time check and are more excited about the opportunity for sustainable reform that will relieve the tax burden on property owners for years to come.

However, it isn’t yet clear what form that relief will take. It may be one or a combination of several ideas laid out by lawmakers already. It could take the form of state funding for Texas schools; school property tax is the biggest chunk of a typical Texas homeowner’s property tax bill. Another popular idea is increasing the homestead exemption from its current $40,000 to at least $70,000 and increasing the business personal property tax exemption to $100,000.

Texas REALTORS® has also heard discussion about further lowering the appraisal cap (currently set at 10%) for homesteaded properties or all real property. Texas REALTORS® is working to inform lawmakers about why the association opposes that route. Essentially, it’s an ineffective idea that puts artificial restriction on the growth potential of the biggest investment most Texans will ever make.

The budget also presents an opportunity for substantial funding in another Realtor priority: infrastructure. Lawmakers are interested in improving reliability of the Texas electric grid and addressing the future water needs of our growing state. Investment in infrastructure will help Texas remain an attractive place to live and do business for years to come.

We are excited to continue our work meeting with lawmakers at the Texas Capitol until the end of session on May 29 and throughout any subsequent special sessions.

More importantly, we hope you join us in Austin on March 22 for REALTOR® Day at the Texas Capitol. Nothing means more to lawmakers than the opinions of their constituents — YOU! — and we need your help getting their attention on our issues.

Marcus Phipps is the 2023 president of Texas REALTORS®.