Property tax, transfer tax and closing costs in Texas

Texas has no statewide real estate transfer tax. Annual appraisal as of January 1 by the county appraisal district, with each property reappraised at least every three years. Homestead appraised value increases are capped at 10% a year.

Reviewed October 15, 2026. Every line links its statute or official source.

What Texas sets

Transfer tax: No real estate transfer tax. The state constitution prohibits one. Source: statutes.capitol.texas.gov
Who customarily pays: Not stated. No official source confirmed this yet.
Local transfer taxes: Not stated. No official source confirmed this yet.
Reassessment cycle: Annual appraisal as of January 1 by the county appraisal district, with each property reappraised at least every three years. Homestead appraised value increases are capped at 10% a year. Source: comptroller.texas.gov
Homestead and other exemptions: School district homestead exemption of $140,000 (raised from $100,000 by the November 2025 constitutional amendment), $200,000 for owners 65 and over or disabled, plus a 10% appraisal cap and local option exemptions. Source: comptroller.texas.gov
Owner’s title policy: Seller customarily pays for the owner’s title policy at promulgated rates. Source: tdi.texas.gov
How closings run: Title company closings are customary. Source: tdi.texas.gov
Survey: Seller customarily provides an existing survey when acceptable. Otherwise the buyer pays for a new one. Source: tdi.texas.gov
Other closing customs: Municipal utility district (MUD) taxes are a separate line on the bill in many newer subdivisions. Source: comptroller.texas.gov

No statewide transfer tax

On a $284,000 sale in Texas the state charges no transfer tax. Recording fees, title and settlement charges still apply.

Typical property tax in Texas

Median real-estate tax paid: $4,232 a year
Per month: $353
Median owner-occupied home value: $283,800
Effective rate they imply: 1.49%

Census American Community Survey five-year file, 2020-2024, tables B25103 and B25077, owner-occupied homes. The median bill rose 37% against the 2015-2019 file. An estimate for a typical home, not yours. Your bill depends on the parcel, its exemptions and the next reassessment.

For agents

Your buyers ask what closing costs in Texas and who pays. This page answers from the statute, with the date it was checked. Send it, or embed the calculator on your own site.

Ike lets a licensed real estate agent originate the mortgage on the deals they already close. Expected compensation is about 100 basis points per eligible funded loan once licensed and sponsored. Ike is preparing licenses state by state.

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One email when Texas rates, exemptions or transfer taxes change, and when the next reassessment lands.

Sources

Ike Mortgage LLC. NMLS ID pending. For licensing information, go to: www.nmlsconsumeraccess.org. Nothing on this page is a loan payment, rate, term or down payment, and nothing here is a Loan Estimate.