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Florida vs Texas:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Florida and Texas. Updated for 2026.

MetricFloridaTexas
Median Home Price$395K$310K
Property Tax Rate0.86%1.8%
Avg Closing Costs$7K$5K
Closing Cost %1.8%1.7%
Transfer Tax0.7%None
Homeowners Insurance$4,200/yr$3,800/yr
First-Time Buyer Program
Florida Hometown Heroes
Up to 5% as 0% deferred loan
TDHCA My First Texas Home
Up to 5% DPA grant
Verdict

Texas wins 5 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $310K and lower overall costs, Texas offers meaningful savings compared to Florida. Both states offer first-time buyer programs — explore the state pages for full details.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Florida
Home Price$395,000
Down Payment (10%)$39,500
Loan Amount$355,500
Monthly P&I$2,247
Monthly Property Tax$283
Monthly Insurance$350
Monthly PMI$148
Total PITI$3,028/mo
Annual property tax: $3,397
Texas
Home Price$310,000
Down Payment (10%)$31,000
Loan Amount$279,000
Monthly P&I$1,763
Monthly Property Tax$465
Monthly Insurance$317
Monthly PMI$116
Total PITI$2,661/mo
Annual property tax: $5,580

The monthly payment difference is $367/month — thats $4,404/year or $132K over the life of a 30-year loan. Buying in Texas is the more affordable option based on median home prices with identical loan terms.

Income Needed to Buy

Based on the 28% debt-to-income rule — your monthly housing payment should not exceed 28% of gross monthly income.

Florida
$130K/yr
minimum household income
Texas
$114K/yr
minimum household income

To afford the median home in Florida, you need a household income of approximately $130K/year. In Texas, you need $114K/year — less by $16K/year. The $16K difference is meaningful but manageable for dual-income households.

Which State Is Right for You?

Texas offers meaningfully lower home prices than Florida, with median prices running 22% less ($85K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Florida may find Texas far more accessible, particularly when combined with local down payment assistance programs.

Florida has a moderate property tax advantage at 0.86% versus Texas's 1.8%. While the rate gap of 0.94% may seem small, it translates to an annual difference of approximately $2,183 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $17K in savings.

Both states offer down payment assistance for first-time buyers. Florida's Florida Hometown Heroes provides Up to 5% as 0% deferred loan, while Texas's TDHCA My First Texas Home offers Up to 5% DPA grant. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: Florida and Texas are broadly similar in housing costs, with only $367/month separating them in total PITI payments. In cases like this, your decision should be driven by lifestyle preferences — job opportunities, climate, proximity to family, and quality of life — rather than pure cost savings. Either state offers a reasonable path to homeownership.

Compare Other States

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Frequently Asked Questions

Is it cheaper to buy a home in Texas or Florida?
Texas is cheaper overall. The median home costs $310K compared to $395K in Florida, and the total monthly PITI payment is $2,661 versus $3,028. That works out to $367 less per month or $4,404 less per year in Texas.
How much more are property taxes in Texas vs Florida?
Texas has a property tax rate of 1.8% compared to 0.86% in Florida. On the median home, that means Texas homeowners pay approximately $5,580/year in property taxes versus $3,397/year in Florida — a difference of $2,183/year.
Which state has better first-time buyer programs, Florida or Texas?
Florida offers the Florida Hometown Heroes (Up to 5% as 0% deferred loan), while Texas has the TDHCA My First Texas Home (Up to 5% DPA grant). Both programs aim to reduce upfront costs for first-time buyers. Eligibility depends on income limits, purchase price caps, and other criteria set by each state's housing finance agency.

Explore Each State

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