Big dreams. New keys. Welcome home.
House hunting, mortgage shopping and dreaming about your future backyard? Here's your guide to buying a home in Texas, from your first budget to closing day and everything that comes after.
Let's find a place
to call yours.
The kitchen you've been dreaming about. A backyard for the dog. Maybe a little more room for everyone. Buying a home is exciting, but there are quite a few decisions between browsing listings and getting the keys.
Here's how to navigate the process without overlooking the details that make Texas homeownership unique.
Start with the numbers.
The listing price is only part of what your new home will cost. Before falling in love with a beautiful kitchen, figure out what comfortably fits your budget.
Know your options.
You don't necessarily need 20% down. Available mortgage programs have different down payment, credit and eligibility requirements.
Look beyond the mortgage.
Include principal, interest, property taxes, insurance, HOA dues and any applicable mortgage insurance.
Keep cash available.
Budget for lender charges, appraisal fees, title-related costs, prepaid expenses and other closing items.
Leave room for surprises.
Repairs, furniture, utility deposits and moving expenses can add up quickly.
First-time buyer?
Explore Texas State Affordable Housing Corporation and Texas Department of Housing and Community Affairs programs for potential homebuyer assistance. Eligibility and availability vary.
EXPLORE HOMEBUYER PROGRAMS ↗Get preapproved. Then go house hunting.
A mortgage preapproval can help you understand your borrowing options before you start making offers. Compare more than the advertised interest rate.
Review credit reports, savings, existing debts and your monthly payment comfort zone.
Ask about interest rates, annual percentage rates, loan terms, lender fees and estimated closing costs.
Compare the standardized Loan Estimates you receive from different lenders. Look closely at the estimated monthly payment and cash needed to close.
Don't forget Texas property taxes.
Property taxes can meaningfully affect your monthly housing costs. The seller's current tax bill may not reflect what you'll owe after purchasing the home.
Love the house.
Investigate the details.
A beautiful listing photo won't tell you everything. Look beyond the countertops and ask questions about the property's condition, location and ongoing costs.
Check the roof and foundation.
Ask about the roof's age, previous hail damage, drainage problems and any foundation repairs. Depending on the property, specialist inspections may be appropriate.
Read the seller's disclosure.
Review the disclosure and ask follow-up questions about known defects, past repairs and previous water damage. A disclosure isn't a substitute for an inspection.
Understand the option period.
Texas purchase contracts may include a negotiated termination option. If agreed to and properly paid for, it can allow a buyer to terminate for any reason during the specified period. Pay close attention to the contract's deadlines.
LEARN ABOUT OPTION PERIODS ↗Look at the neighborhood.
Consider your commute, nearby services, drainage, local development, HOA restrictions and potential flood exposure.
Let's talk about that Texas tax bill.
Texas property taxes are assessed locally, so the cost can vary by address. Review the property's appraisal district records, taxing jurisdictions and applicable exemptions.
Your primary residence matters.
Eligible homeowners may qualify for residence homestead exemptions. Apply through the county appraisal district where your property is located.
Plan for the monthly payment.
Many mortgage lenders collect estimated property taxes and insurance through monthly escrow payments. These amounts may change over time.
Buying a home with an existing exemption?
Don't assume the seller's homestead exemption or tax limitations will automatically apply to you. Ask your appraisal district about your eligibility and application requirements.
TEXAS PROPERTY TAX EXEMPTIONS ↗Check the weather risks before you buy.
A house in the Panhandle can face different risks from one on the Gulf Coast. Understanding your property's exposure can help you plan for maintenance and insurance.
Look beyond the flood zone.
Check official flood maps and ask about the property's flooding history. Flooding can happen outside designated high-risk areas.
CHECK FEMA FLOOD MAPS ↗Inspect that roof.
Ask about roof age, material, previous claims and any wind or hail deductible in the proposed policy.
Check windstorm coverage.
Some coastal homes need separate wind and hail coverage. Confirm availability before committing to a purchase.
Watch where the water goes.
Ask about drainage, soil movement, cracks and any previous foundation repairs. Consider a specialist if an inspection raises concerns.
Ask for the home's insurance history.
A seller may be able to provide a CLUE report showing previous insurance claims on the property. Past losses can reveal useful questions to ask before closing.
Almost time for those keys.
Once your offer is accepted, keep track of financing, inspection, insurance and closing deadlines. Your contract and lender will determine many of the specific steps.
Review the findings, consider specialist evaluations and discuss any repairs or contract changes before deadlines pass.
Get quotes early and coordinate the effective date with your lender and closing. Ask about separate flood or windstorm coverage.
For most mortgages, your lender must provide it at least three business days before closing. Check your final costs and loan terms.
Check the property's condition and verify that agreed repairs and included items are addressed.
Independently call your title company using a trusted number before sending any closing funds. Be alert for fraudulent last-minute wiring changes.
You're home. Now make it yours.
Congratulations! Before disappearing into paint samples and furniture shopping, take care of a few practical homeowner tasks.
Change the locks.
Update door locks, garage codes and smart-home access.
Get connected.
Arrange electricity, water, internet, waste collection and any necessary service transfers.
Make a home-care calendar.
Schedule HVAC servicing, roof checks, gutter cleaning and other routine maintenance.
Check your exemptions.
If eligible, apply for your residence homestead exemption through your local appraisal district.
Oh yeah.
Insurance.
You've found the house. Now let's talk about protecting it. Your home's age, location, roof, rebuilding cost and weather exposure can all affect your options.
Homeowners insurance
Review dwelling coverage, personal property, liability, additional living expenses and deductibles. Compare replacement cost and actual cash value terms.
Flood insurance
Standard homeowners policies generally exclude flooding. Separate flood coverage may be worth considering even outside designated high-risk flood zones.
Windstorm & hail
Check your policy's wind and hail coverage, exclusions and deductibles. Certain coastal properties may require separate windstorm insurance.
Bundle your coverage?
Ask whether combining eligible home and auto policies could qualify you for discounts. Compare total costs and coverage, not just the discount.
Hey Charley is independent, so we can help you compare available options and understand the coverage for your new Texas home.
You've found the house.
Let's talk protection.
Buying your first home? Moving across Texas? Ready to compare homeowners insurance before closing? Let Charley take a look.
LET CHARLEY TAKE A LOOK →