Monthly Payment on a $250K Mortgage in Texas
Using Texas's 1.8% property tax rate and $3,800/yr homeowners insurance.
$250K Mortgage in Texas: Rate Comparison
Monthly PITI payment using Texas's 1.8% property tax and $3,800/yr insurance.
| Rate | 5% Down | 10% Down | 20% Down |
|---|---|---|---|
| 5.5% | $2,179 | $2,100 | $1,827 |
| 6.0% | $2,254 | $2,172 | $1,891 |
| 6.5% | $2,331 | $2,245 | $1,956 |
| 7.0% | $2,410 | $2,320 | $2,022 |
| 7.5% | $2,491 | $2,396 | $2,090 |
| 8.0% | $2,573 | $2,474 | $2,159 |
How This Compares to Texas's Median
A $250K home is 19% below Texas's median of $310K. You'll find homes at this price in cities like Tyler, Corpus Christi, El Paso, Lubbock, Amarillo, Abilene.
Income Needed for a $250K Home in Texas
To afford this payment of $2,245/mo in Texas, you'd need a household income of approximately $96K/year (28% rule). That's the standard guideline lenders use to determine what you can comfortably spend on housing.
See what a $100K salary can afford →Closing Costs in Texas
Estimated closing costs in Texas: $4K (1.7% of purchase price). Texas has no transfer tax, which helps keep your upfront costs lower.
What to Know About a $250K Mortgage in Texas
Note that Texas's 1.8% property tax rate adds $375/mo to your payment — significantly more than the national average of roughly 1.1%. On a $250K home, that's $4,500/year in property taxes alone. This is a major factor in your total payment and something to budget for carefully.
Homeowners insurance in Texas runs $3,800/yr, adding $317/mo to your payment. This is well above the national average due to weather-related risks in the region. Shopping for competitive insurance quotes can help offset this cost.
With 10% down ($25,000), your loan of $225,000 at 6.5% over 30 years produces a principal and interest payment of $1,422/mo. Adding Texas's 1.8% property tax ($375/mo) and $3,800/yr insurance ($317/mo) brings your total to $2,245/mo. Because you're putting less than 20% down, PMI adds $131/mo until you reach 20% equity.
Over the full 30-year term, you'll pay approximately $286,975 in total interest. Even a small rate reduction makes a big difference — dropping from 7.0% to 6.5% on this loan saves about $26,920 over the life of the loan.