Texas Closing Costs for Buyers: How Much You'll Pay
In Texas, Texas has no real estate transfer tax, and an owner's title policy runs about $1,974 plus $100 for the lender's policy. Figures below come from Texas statutes, the state's revenue and insurance regulators and filed title rate cards, read on September 11, 2026.
Transfer tax in Texas: none
Texas does not charge a tax on the transfer of real estate, which is the main reason its closing costs sit below the national picture. None. Texas prohibits any tax on transactions that convey fee simple title to real property; the state has no real estate transfer tax and no county/city transfer tax is permitted. Source
You still pay recording fees: $25 to record the deed and $25 for the mortgage at the Harris County Clerk, Real Property Department (largest TX county). Fee schedule
How much is title insurance in Texas?
On a $341,800 home in Texas, an owner's title policy costs about $1,974 and the lender's policy about $100 when both are issued together (the simultaneous-issue discount). The seller customarily pays for the owner's policy; the buyer pays the lender's policy. Texas is a promulgated-rate state: the state sets title insurance premiums, so every insurer charges the same price and shopping around cannot lower the premium (only the settlement fees). Premiums computed from Texas Department of Insurance, Commissioner's Order No. 2025-9697, Title Insurance Basic Premium Rates effective March 1, 2026 (Exhibit A rate table).
Who pays the owner's policy: seller (customary in most Texas markets under the TREC contract's Seller-expense box; the TREC 1-4 Family Residential Contract lets the parties check either Seller or Buyer, so it is negotiable) Source
Texas title insurance premiums are fully promulgated (fixed) by the Texas Department of Insurance under Insurance Code Ch. 2703, every underwriter and agent must charge the same basic premium. Owner's policy at $341,800: policy falls in the >$100,000 tier;
Texas-specific buyer costs on a $341,800 home
These are the line items set by Texas law or filed rates. Lender fees, appraisal, escrow and prepaid taxes and insurance come on top and depend on your loan.
| Lender's title policy | $100 |
|---|---|
| Deed recording | $25 |
| Mortgage recording | $25 |
| State-set items, total | $150 |
Do you need a closing attorney in Texas?
Not required. Texas does not require an attorney to conduct or supervise a residential closing. Closings are customarily handled by title insurance companies/escrow agents under the Texas Title Insurance Act (Insurance Code Ch. 2501-2703); attorneys are not statutorily mandated to be present or to prepare closing documents for a standard residential purchase. Source
Other Texas specifics
- Additional recording pages. Harris County charges $25 for the first page of a recorded real property instrument (deed, deed of trust, release, etc.) plus $4 for each additional page, per Texas Local Government Code Sec. 118.011; a typical multi-page deed of trust will exceed the flat $25 base fee shown above. Source
How much are closing costs in Texas?
For a buyer, closing costs usually run 2% to 5% of the purchase price. On Texas's median-priced home (about $341,800), that is roughly $6,836 to $17,090, and it is separate from your down payment. The exact figure depends on your lender, your loan, and local taxes.
What closing costs include
Closing costs are a bundle of one-time fees due at settlement: lender or origination fees, an appraisal, title insurance, escrow and settlement fees, recording fees and any Texas transfer tax, plus prepaid property taxes and homeowners insurance.
Why Texas closing costs vary
The single biggest reason closing costs differ from state to state is transfer taxes, which states and sometimes counties and cities charge on the sale. Title insurance customs and whether an attorney is required at settlement also matter.
How a rebate offsets Texas closing costs
Buyer commission rebates are legal in Texas. Because a rebate can be paid as a credit at closing, it can erase a meaningful share of these costs. On a $341,800 home, a 2% rebate is about $6,836, often enough to cover much of the closing bill.
Frequently asked questions
How much is title insurance in Texas?
About $1,974 for an owner's policy on a $341,800 home, plus about $100 for the lender's policy when both are issued together. Texas sets these rates, so every insurer charges the same premium.
Who pays closing costs in Texas?
There is no transfer tax in Texas. The seller customarily pays for the owner's policy; the buyer pays the lender's policy, plus lender fees, appraisal and prepaid taxes and insurance. Sellers often cover part of the buyer's costs through a negotiated concession.
Do you need an attorney to close on a house in Texas?
No. Texas does not require an attorney to conduct or supervise a residential closing. Closings are customarily handled by title insurance companies/escrow agents under the Texas Title Insurance Act (Insurance Code Ch. 2501-2703); attorneys are not statutorily mandated to be present or to prepare closing documents for a standard residential purchase.
How much are closing costs in Texas?
Buyer closing costs in Texas typically run 2% to 5% of the purchase price. On Texas's median-priced home (about $341,800) that is roughly $6,836 to $17,090, on top of your down payment.
What do closing costs include in Texas?
Lender or origination fees, an appraisal, title insurance, escrow and settlement fees, recording fees and any Texas transfer tax, plus prepaid property taxes and homeowners insurance.
Can a buyer rebate offset closing costs in Texas?
Often yes. In Texas, buyer commission rebates are legal, and a rebate can be applied as a credit toward your closing costs at the settlement table.
Sources
- Texas transfer tax statute
- Texas Department of Insurance, Commissioner's Order No. 2025-9697, Title Insurance Basic Premium Rates effective March 1, 2026 (Exhibit A rate table)
- Who pays the owner's title policy
- Texas closing attorney rule
- Harris County Clerk, Real Property Department (largest TX county) recording fees
- Consumer Financial Protection Bureau: buyer closing costs are typically 2% to 5% of the purchase price
Texas figures last verified against official sources on September 11, 2026.
Texas title insurance at every purchase price, with a calculator →
Texas transfer tax at every purchase price, who pays and local surcharges →
Read the full buyer closing-costs guide →
Figures are typical 2026 ranges and vary by lender, loan, and location. This is general information, not financial advice; confirm your numbers with your lender and closing agent.
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