Texas low-income property tax exemption - Leander, TX

[Mike B.]

As a new suburban Austin landlord, I'm in the fortunate position of seeing my 1st rental property and new primary home nearly double in value within this last year. It is so weird to have experienced the massive run-up in prices here. 

Now, I'm working to understand my new tax situation and have stumbled upon areas of the Low-Income Housing section of the Texas Property Tax Code that are interesting. Can anyone help explain what section 11.1825 means? That section discusses the construction or rehabilitation of low-income housing and provides a 50% tax credit for landlords. Is this a Texas Tax exemption for small landlords to provide low-income housing? 

My key problem is that I'm in a northern suburb of Austin and want to figure out a solid strategy to expand over the next couple of years. Prices/Taxes are too high for me right now and my w2 income doesn't align with any more expansion into this market. I'm a government employee. As a result, I may focus on Kileen as that city has much lower prices and is within 1 hour of my home. The biggest concern is cash flow and any future increases in property tax. Texas property taxes are just so high. 

I grew up in section 8 housing, so I have a good idea about what that environment looks like. I'm thinking we can set up a HELOC on our primary home in Austin and use the BRRR method to focus on Section 8 rentals in the Kileen area. I still need to study a lot to completely understand section 8 from a landlord's perspective. If there is a tax exemption too, that makes my life much easier.