TX

Texas Home Buying Guide

South Region · Non-Judicial Foreclosure State

Homestead ExemptionNo Transfer Tax

Key Facts at a Glance

Median Home Price
$340,000
Property Tax Rate
1.68%
Transfer Tax
None
Attorney Required
No
Foreclosure Type
Non-Judicial

What Makes Texas Unique

No transfer tax and no state income tax

High property taxes offset no income tax

Homestead exemption includes $100K school district relief since 2023

First-Time Buyer Programs in Texas

1

TDHCA My First Texas Home

Contact your state housing finance agency for current eligibility and rates

2

TSAHC Home Sweet Texas

Contact your state housing finance agency for current eligibility and rates

3

TDHCA Mortgage Credit Certificate

Contact your state housing finance agency for current eligibility and rates

Program availability, income limits, and interest rates change frequently. Verify current terms with your lender or state housing finance agency.

Closing Costs in Texas

1%
Avg Closing Costs
of purchase price
$3,400
Estimated Closing Costs
on median-priced home
None
Transfer Tax
no transfer tax!

Attorney at Closing

Attorney Not Required

Texas does not require an attorney at closing. A title company typically handles the transaction. Consider hiring one anyway for complex deals.

Local Tips for Texas Buyers

1

High property taxes (1.68%) add $500–$700/month on median-priced home.

2

TSAHC Home Sweet Texas offers 3–5% DPA as grant or deferred loan.

3

Homestead must be filed by April 30 — provides meaningful tax savings.

Estimated Annual Ownership Cost in Texas

Based on the median home price of $340,000 with a 10% down payment and 7% mortgage rate.

Annual Mortgage Payment$24,419
Annual Property Taxes$5,712
Homeowners Insurance (est.)$1,700
Maintenance (est. 1%/yr)$3,400

Ready to Calculate Your Numbers?

Use our free calculators to estimate your monthly payment, affordability, and closing costs in Texas.