What Surprised Me Most Moving From California to Texas

What surprises people most when moving from California to Texas?

It usually isn't the Texas heat or the fact that there is no state income tax.

It's the little things you don't really think about until you own a home here.

Property taxes work differently. Utilities can be different from one neighborhood to the next. Real estate contracts are handled differently. And insurance is a completely different conversation.

I made the move from California to Texas myself. My home base is now in the Lake Travis area, but I still travel back to Southern California regularly for work. I've also owned property in both states for years, so I've seen firsthand how different the two can be.

If you're thinking about making the same move, here are a few things I wish more California buyers knew ahead of time.

No State Income Tax Is Only Part of the Story

Yes, Texas has no state income tax.

That's one of the biggest reasons people look at Texas in the first place.

But that doesn't mean every part of living here costs less.

Property taxes are one of the biggest differences.

In California, Proposition 13 helps keep your property tax increases relatively predictable after you purchase a home.

Texas works differently.

Your property tax bill can include several taxing agencies, such as the county, school district, city, emergency service district, and sometimes a utility district.

Your home is also appraised regularly, so the taxable value can change over time.

You Can Protest Your Property Value

This was one of the biggest differences for me.

Texas homeowners receive a Notice of Appraised Value from their appraisal district. If you believe the value is too high, you have the right to protest it.

For many Texas homeowners, this becomes part of their normal yearly routine.

If you're moving here from California, put the property tax protest period on your calendar.

It's something you don't want to forget.

The Homestead Exemption Isn't Automatic

If the home is your primary residence, Texas offers a homestead exemption that can help reduce your property taxes.

But you have to apply for it.

It doesn't automatically happen when you buy the home.

You'll normally apply through your county appraisal district, and your Texas driver's license or ID should show the home's address.

Another important thing to know is that the seller's property tax bill may not look anything like yours.

They may have owned the property for years and could have exemptions or tax protections that you won't automatically receive.

Don't Use the Seller's Tax Bill as Your Budget

When you're looking at homes, ask for an estimated property tax amount based on your expected purchase price.

That will give you a much better idea of what your future payment could look like.

The seller's current tax bill can be helpful information, but it shouldn't be the number you rely on when planning your budget.

You May Not Get to Choose Your Electric Company

People often hear that Texas lets you shop around for electricity providers.

That's true in some parts of Texas.

But not everywhere.

Around Austin and the Lake Travis area, your electric provider may depend completely on the address.

Some homes are served by Austin Energy. Others are served by Pedernales Electric Cooperative.

Even within the same city, service areas can change.

If you're buying a home, confirm the electric company for that specific property before you close.

Don't assume you'll be able to shop around after you move in.

Water and Sewer Can Be Different Too

This is another thing that can surprise California buyers.

Around Lake Travis, not every home is connected to a traditional public sewer system.

Some properties have septic systems.

Water service can also come from different cities, utility districts, or local providers depending on the neighborhood.

If a property is in a Municipal Utility District, or MUD, you may also see additional taxes connected to that district.

If you're buying a home with septic, make sure you understand the system before your option period ends.

It can also affect future plans for the property.

For example, adding another bedroom, guest house, pool, or other improvements may require you to look at the septic system's size and capacity first.

The Home Buying Contract Works Differently

Even experienced California buyers can be surprised by the Texas contract.

The Option Period

In California, buyers are usually familiar with contingency periods.

Texas commonly uses something called an option period.

The buyer pays an option fee in exchange for a set number of days when they generally have the unrestricted right to terminate the contract.

This is normally when you'll handle things like:

• Home inspections

• Insurance quotes

• Repair negotiations

• Additional property research

• Other due diligence

The option period can go by very quickly.

When I work with buyers relocating from California, this is one of the timelines I make sure we stay on top of.

You don't want to wait until the last day to start asking questions.

Title Companies Handle the Closing

California buyers are often used to working with an escrow company.

In Texas, the title company normally handles much of the closing process, including the funds, documents, and title policy.

It's not necessarily better or worse.

It's just different, and knowing what to expect makes the process much easier.

Texas Is a Non-Disclosure State

Here's another big difference.

Texas is a non-disclosure state, which means home sale prices generally aren't part of the public record the same way they are in California.

That can make online home value estimates less reliable.

Websites don't always have access to the same information real estate professionals can see through the MLS.

So if you're trying to figure out what a home is worth, don't rely only on an online estimate.

Recent MLS sales and local market knowledge matter.

Deed Restrictions Matter More Than You May Expect

Some areas of Texas don't have the same type of zoning California buyers are used to.

Because of that, deed restrictions and HOA rules can become very important.

This especially matters in areas around Lake Travis and Hudson Bend.

Before buying, take the time to review the property's restrictions.

Pay attention to rules about:

• Boats and RVs

• Fences

• Home additions

• Docks

• Guest houses

• Short-term rentals

If you're planning to use the home as a vacation rental or Airbnb, don't assume it's allowed.

Verify it before you buy.

The Weather Surprise Isn't Just the Summer

Everyone knows Texas gets hot.

That part probably won't surprise you.

What may surprise you is everything else.

Central Texas can have hard freezes during the winter, and those freezes can affect exposed pipes, pools, landscaping, and outdoor equipment.

Then there's cedar season.

Mountain cedar pollen can be rough during the winter months, especially if you're new to Central Texas.

And then there's hail.

Hail Changes the Insurance Conversation

In California, homeowners often think about wildfire when discussing insurance.

In Central Texas, wind and hail are major concerns.

That means the age and condition of the roof can be very important when you're buying a home.

An older roof may affect your insurance options, premiums, deductibles, or how a future claim is paid.

This is why I recommend getting insurance quotes while you're still within your option period.

Don't wait until a few days before closing.

What I'd Tell Anyone Moving From California to Texas

If you're planning a move, here's what I would focus on first:

1. Get a property tax estimate based on the price you're actually paying for the home.

2. Confirm the electric, water, and sewer providers for the exact address.

3. Review HOA documents and deed restrictions early.

4. Schedule inspections and get insurance quotes during your option period.

5. Apply for your homestead exemption when you're eligible.

6. Keep the annual property tax protest period on your calendar.

None of these things are reasons not to move to Texas.

I'm glad I made the move.

But there are definitely things I understand now that I didn't fully appreciate before living here.

Knowing those differences before you buy can save you a lot of surprises later.

Frequently Asked Questions

Is it cheaper to live in Texas than California?

It depends.

Texas does not have a state income tax, which can be a big savings for some households.

But property taxes, homeowners insurance, utility costs, and the price of the home itself all matter.

Instead of comparing Texas and California in general, look at the numbers for the actual home you're considering.

That's going to give you a much more useful answer.

Do Texas homeowners automatically get the homestead exemption?

No.

You'll need to apply through your local appraisal district.

There are also eligibility and documentation requirements, so check with the appraisal district for the county where you buy.

What is the option period when buying a home in Texas?

The option period is a negotiated number of days after the contract is signed when the buyer generally has the unrestricted right to terminate the contract.

Buyers usually use this time for inspections, insurance quotes, repair discussions, and other research about the home.

Thinking About Moving From California to Texas?

Every move is different.

Your taxes, utilities, insurance, and even the buying process can change depending on the property and neighborhood you're looking at.

If you're considering a move to the Lake Travis area, Lakeway, Bee Cave, or Hudson Bend, let's talk.

I can help you understand what to expect, what questions to ask, and what the numbers may look like for the homes you're actually considering.

I've made the California-to-Texas move myself, so I understand that it's about more than simply finding a house.

It's about knowing what you're walking into before you make the move.

Amanda Zito, REALTOR®
Real Broker, LLC
CA DRE #01740063 | TX TREC #840088
949-484-9486 | SoldByZito.com

This article is for general information only and is not legal, tax, or insurance advice. Property tax rules, exemptions, deadlines, insurance requirements, and local regulations can change. Always confirm current information with the appropriate appraisal district, tax professional, insurance provider, or other qualified professional.