CALCMONEY // HOME AFFORDABILITY // TX
Find out how much home you can afford in Texas using local median home prices, current mortgage rates, and TX-specific property tax data.
Open Full Calculator$340,000
$2,443/mo
$176,131
$104,703/yr
| Median Home Price | $340,000 |
| Down Payment (20%) | $68,000 |
| Loan Amount | $272,000 |
| Monthly PI Payment | $1,791 |
| Monthly Property Tax | $510 |
| Monthly Insurance Est. | $142 |
| Total Monthly PITI | $2,443 |
| Required Gross Income (28% rule) | $104,703/yr |
| Max Affordable Price (28% rule) | $176,131 |
$11,900
$3,045/mo
Texas Home Affordability Quick Reference 2026
| Metric | Value | Notes |
|---|---|---|
| Median Home Price | $340,000 | State median |
| Down Payment (20%) | $68,000 | Conventional |
| Monthly PITI (median home) | $2,443 | 6.9% rate |
| Required Income (28% rule) | $104,703 | Annual gross |
| Max Affordable Home | $176,131 | Based on median income |
| FHA Down Payment (3.5%) | $11,900 | Minimum FHA |
Monthly PITI includes principal, interest, property tax, and homeowners insurance.
The median home price in Texas is $340,000, with a current 30-year fixed mortgage rate of 6.9%. A buyer putting 20% down on the median home would carry a loan of $272,000, resulting in a monthly principal and interest payment of $1,791. Once property taxes and insurance are added, total monthly housing costs reach $2,443.
Property taxes in Texas average 1.8% — well above the national average of 1.1%. On the median Texas home, that adds $510/month to your housing costs, which lenders factor directly into your debt-to-income ratio.
Texas has no state income tax, which increases effective take-home pay relative to higher-tax states and can improve overall buying power for TX residents.
Using the 28% rule, a household earning Texas's median income of $67,700/year can afford up to $1,580/month in total housing costs (principal, interest, taxes, and insurance). Based on Texas's current mortgage rate of 6.9% and property tax rate of 1.8%, that translates to a maximum affordable home price of approximately $176,131 with 20% down on a 30-year loan.
To comfortably afford the median Texas home priced at $340,000, you need an annual gross income of approximately $104,703. This is based on the standard 28% rule: your total monthly housing costs (principal and interest of $1,791, property taxes of $510, and insurance of $142) come to $2,443/month, which should not exceed 28% of your gross monthly income.
Texas's average property tax rate is 1.8%, which is above the national average of 1.1%. On the median Texas home of $340,000, that means annual property taxes of $6,120, or $510/month. Because lenders include property taxes in your debt-to-income calculation, Texas's higher-than-average tax rate meaningfully reduces how much home you can afford.
The minimum down payment depends on your loan type. For an FHA loan, you can put down as little as 3.5% — on the median Texas home of $340,000, that is $11,900. Conventional loans typically require 5% down, though some programs allow 3%. Putting down 20% ($68,000 on the median Texas home) lets you avoid private mortgage insurance (PMI), which can add 0.5%–1% to your annual loan cost. There are no Texas-specific minimum down payment requirements beyond federal guidelines.