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Texas vs Utah:
Mortgage & Housing Costs

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

MetricTexasUtah
Median Home Price$310K$480K
Property Tax Rate1.8%0.58%
Avg Closing Costs$5K$6K
Closing Cost %1.7%1.3%
Transfer TaxNoneNone
Homeowners Insurance$3,800/yr$1,200/yr
First-Time Buyer Program
TDHCA My First Texas Home
Up to 5% DPA grant
UHC FirstHome Loan
Up to 6% DPA second
Verdict

Utah wins 3 of 6 cost categories, making it the more affordable state for homebuyers overall. However, Texas has a lower total cost when combining home price, closing costs, and insurance. 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.

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
Utah
Home Price$480,000
Down Payment (10%)$48,000
Loan Amount$432,000
Monthly P&I$2,731
Monthly Property Tax$232
Monthly Insurance$100
Monthly PMI$180
Total PITI$3,243/mo
Annual property tax: $2,784

Buying in Texas saves you approximately $582/month ($6,984/year) compared to Utah, based on median home prices with identical loan terms.

Which State Is Right for You?

Texas offers meaningfully lower home prices than Utah, with median prices running 35% less ($170K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Utah may find Texas far more accessible, particularly when combined with local down payment assistance programs.

Property taxes are dramatically different: Utah charges 0.58% while Texas charges 1.8%, a gap of 1.22 percentage points. On the respective median homes, this means Texas homeowners pay roughly $5,580 per year in property taxes versus $2,784 in Utah. Over 30 years of homeownership, this difference alone can add up to six figures. Retirees on fixed incomes should weigh this heavily.

Homeowners insurance is significantly cheaper in Utah ($1,200/year) compared to Texas ($3,800/year). That's an extra $2,600 per year — or $217/month — eating into your budget in Texas. Texas's high insurance costs are often driven by severe weather risks (hurricanes, tornadoes, or wildfires), which also affect availability of coverage.

Both states offer down payment assistance for first-time buyers. Texas's TDHCA My First Texas Home provides Up to 5% DPA grant, while Utah's UHC FirstHome Loan offers Up to 6% DPA second. 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: Texas homes cost $170K less than Utah on average. That translates to roughly $582 less per month in total housing costs if you choose Texas. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

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