77861 Property Tax Rate

Property owners in ZIP code 77861 (Iola, Texas) pay a median of $2,784/year in property taxes on homes valued at $260,400. This translates to an effective tax rate of 1.07%, which is 21% below the Texas state average of 1.35%.

The monthly property tax burden for a median-valued home in 77861 is approximately $232, which factors into escrow payments on mortgages. This ZIP code is located within Grimes County. This is $347 less than the Texas average of $3,131/year.

Compared to similar ZIP codes in Texas, 77861 has lower property taxes. ZIP codes with similar effective rates include 75475 (1.07%) and 76457 (1.07%).

In Iola, property taxes represent approximately 4.1% of the median household income of $67,857, providing context for the relative tax burden on homeowners in this area.

Texas enforces a 10% annual cap on homestead appraised value growth, but only if you file a Homestead Exemption with the Grimes County Appraisal District by April 30 of the year after purchase — failure to file means your property can be reappraised at market value each year. The exemption removes a portion of your home's assessed value from school, county, and city tax bills, typically saving $800–$1,500 per year even in a high-value market. Submit your exemption application to the Grimes County Appraisal District within 30 days of closing and request written confirmation of your protected base appraised value.