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Texas vs Virginia:
Mortgage & Housing Costs

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

MetricTexasVirginia
Median Home Price$310K$400K
Property Tax Rate1.8%0.82%
Avg Closing Costs$5K$6K
Closing Cost %1.7%1.5%
Transfer TaxNone0.25%
Homeowners Insurance$3,800/yr$1,700/yr
First-Time Buyer Program
TDHCA My First Texas Home
Up to 5% DPA grant
Virginia Housing DPA Grant
Up to 2.5% grant
Verdict

Texas and Virginia are evenly matched across major housing cost categories. Your decision may come down to other factors like job market, climate, or lifestyle preferences. Use the calculators below to model your specific scenario.

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
Virginia
Home Price$400,000
Down Payment (10%)$40,000
Loan Amount$360,000
Monthly P&I$2,275
Monthly Property Tax$273
Monthly Insurance$142
Monthly PMI$150
Total PITI$2,840/mo
Annual property tax: $3,280

The monthly payment difference is $179/month — thats $2,148/year or $64K 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.

Texas
$114K/yr
minimum household income
Virginia
$122K/yr
minimum household income

To afford the median home in Virginia, you need a household income of approximately $122K/year. In Texas, you need $114K/year — less by $8K/year. The $8K difference is meaningful but manageable for dual-income households.

Which State Is Right for You?

Texas offers meaningfully lower home prices than Virginia, with median prices running 23% less ($90K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of Virginia may find Texas far more accessible, particularly when combined with local down payment assistance programs.

Virginia has a moderate property tax advantage at 0.82% versus Texas's 1.8%. While the rate gap of 0.98% may seem small, it translates to an annual difference of approximately $2,300 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $18K in savings.

Homeowners insurance is significantly cheaper in Virginia ($1,700/year) compared to Texas ($3,800/year). That's an extra $2,100 per year — or $175/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 Virginia's Virginia Housing DPA Grant offers Up to 2.5% 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: insurance costs heavily tilt the scales. Texas homeowners pay $3,800/year for coverage versus $1,700 in Virginia — a $2,100 annual gap. If you're budgeting for a home in Texas, make sure to factor in this ongoing expense. It can make an otherwise affordable market surprisingly costly month-to-month.

Compare Other States

Texas vs AlabamaTexas vs AlaskaTexas vs ArizonaVirginia vs AlabamaVirginia vs AlaskaVirginia vs Arizona

Frequently Asked Questions

Is it cheaper to buy a home in Texas or Virginia?
Texas is cheaper overall. The median home costs $310K compared to $400K in Virginia, and the total monthly PITI payment is $2,661 versus $2,840. That works out to $179 less per month or $2,148 less per year in Texas.
How much more are property taxes in Texas vs Virginia?
Texas has a property tax rate of 1.8% compared to 0.82% in Virginia. On the median home, that means Texas homeowners pay approximately $5,580/year in property taxes versus $3,280/year in Virginia — a difference of $2,300/year.
Which state has better first-time buyer programs, Texas or Virginia?
Texas offers the TDHCA My First Texas Home (Up to 5% DPA grant), while Virginia has the Virginia Housing DPA Grant (Up to 2.5% 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.

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