Moving to Texas in 2026
Zero income tax. A $334K median home price. The strongest job market in the Sunbelt. Here's everything you need to know before making the move.
$0
State income tax
$334K
Median home price
#1
From California
5.8%
Mortgage rate avg
Texas at a Glance
Tax Advantage
Zero state income tax. A family earning $200K saves $10K-$13K/year vs California. Property taxes average 1.60%, but homestead exemptions reduce your bill significantly.
Housing Market
Median home price $334K with 2.9-3.5 months of inventory. Prices are flat to +4% in 2026. Austin is correcting while DFW suburbs (Frisco, McKinney) continue to appreciate. Seller's market overall.
Job Market
Energy (Houston), tech (Austin/Dallas), healthcare, manufacturing, and aerospace. Gen X and Millennials are the largest groups of new arrivals. Houston was named a top relocation destination for work in 2025.
Climate
Hot summers (95-105°F), mild winters. Northern TX gets occasional ice storms. Gulf Coast is humid. West TX (El Paso) is arid desert with 300+ sunny days. Pick your region wisely.
Education
Frisco ISD, Plano ISD, and Eanes ISD rank among the best in the nation. UT Austin, Texas A&M, Rice, and SMU offer world-class higher education. School quality varies significantly by district.
Insurance
Home insurance is above national average due to hail, wind, and tornado risk. Shop around — rates vary dramatically by ZIP code. Flood insurance required in some Houston-area zones.
Who's Moving to Texas?
Texas attracts Gen X and Millennials primarily from high-cost states seeking affordability and opportunity.
| Origin State | Why They Leave | Where They Go in TX |
|---|---|---|
| California (#1) | Cost of living, taxes, regulations | Austin, DFW, Houston |
| Florida | Insurance costs, hurricanes | DFW, San Antonio |
| New York | Taxes, weather, cost | DFW, Houston |
| Illinois | Taxes, economy | DFW, Austin |
| Louisiana | Economy, opportunities | Houston, DFW |
| Colorado | Cost of living rising | Austin, DFW |
Top Texas Cities for Relocation
Dallas-Fort Worth
Corporate hub, suburbs, diverse
San Antonio
Military-friendly, affordable, cultural
Pros & Cons of Moving to Texas
✅ Pros
- ✓ Zero state income tax
- ✓ Strong, diversified job market
- ✓ Affordable housing vs coastal cities
- ✓ Business-friendly environment
- ✓ Top-rated suburban schools
- ✓ Cultural diversity
- ✓ No state capital gains tax
- ✓ Massive land and space
⚠️ Cons
- ✗ Higher property taxes (1.60%)
- ✗ Extreme summer heat
- ✗ Tornado/hail risk in some areas
- ✗ Power grid concerns (improving)
- ✗ Limited public transit
- ✗ Car-dependent in most cities
- ✗ Home insurance above average
- ✗ Some areas have flooding risk