Closing Costs and Property Taxes in Katy, TX: What Buyers and Sellers Pay on a $480,000 Home
On a $480,000 home in Katy, buyers typically pay 3% to 5% in closing costs (roughly $14,400 to $24,000), while sellers pay 6% to 8% in commissions and fees. Texas property taxes in Katy ISD stack from county, city, school, and MUD/PID districts, but the homestead exemption removes $40,000 from appraised value for school taxes and caps annual increases at 10%.
Frequently Asked Questions
How much are closing costs on a $480,000 home in Katy, TX?
Buyers typically pay 3% to 5% ($14,400 to $24,000) and sellers pay 6% to 8% ($28,800 to $38,400) in closing costs on a $480,000 Katy home.
What is the Texas homestead exemption and how does it save money in Katy?
The homestead exemption removes $40,000 from your home's appraised value for school district taxes, saving roughly $400 to $600 per year in Katy ISD. It also caps annual appraisal increases at 10%.
Why are property taxes in Katy so high?
Texas property taxes stack from multiple entities: Harris County, the city, Katy ISD, and any MUD or PID special districts. Combined rates typically land between 1.8% and 2.8% of assessed value annually.
When do I need to file for the homestead exemption in Katy?
File with the Harris County Appraisal District by April 30 of the year following your home purchase to claim the homestead exemption.