Closing costs

Closing costs in Texas

On a $500,000 home with 20% down, buyers in Texas typically pay about $7,654 to $17,042 at closing, including prepaid taxes and insurance.

Typical buyer total1.5%–3.4%Of the price, 20% down
Closings handled byA title or settlement companyCustomary in the state
Buyer-paid taxesNoneTransfer taxes are seller-paid or not charged
Estimate closing costs for a home in TexasClosing cost estimator

Buyer-paid taxes

TaxOn $500,000 with 20% downNote
None for buyers$0Texas has no real estate transfer tax and no mortgage tax.

Estimated closing costs by price

PriceLoanClosing costsShare of price
$300,000Conventional, 20% down$6,133 – $13,3052.0%–4.4%
$300,000FHA, 3.5% down$6,481 – $14,2172.2%–4.7%
$500,000Conventional, 20% down$7,654 – $17,0421.5%–3.4%
$500,000FHA, 3.5% down$8,235 – $18,5611.6%–3.7%
$750,000Conventional, 20% down$9,556 – $21,7131.3%–2.9%
$750,000FHA, 3.5% down$10,428 – $23,9921.4%–3.2%

Who pays what in Texas

Texas has no real estate transfer tax and no mortgage tax.

Title insurance rates in Texas are set by the state. Sellers customarily pay for the owner’s policy; buyers pay for the lender’s policy.

Questions

How much are closing costs for buyers in Texas?

Often about 1.5% to 3.4% of the price with 20% down, including prepaid taxes and insurance.

Do buyers pay transfer tax in Texas?

No. Texas has no real estate transfer tax and no mortgage tax.

Sources: Texas Department of Insurance (promulgated title insurance rates). Fees are typical ranges, not quotes; your Loan Estimate lists the actual costs.