Question Please (Houston, Galveston: sales, real estate, house insurance)

[Just Lookin]

We are thinking of moving to Texas and heard the taxes and the utilities are very high.

We have this house we would like to buy. It is a 1900 square foot home all electric. Anyone know what that would cost a month for electric. How about the water bills. If there is any other bills you can think of could you please let me know what to expect?

Thank you

[lifertexan]

I don't think taxes are high here.Texas has no income tax,and the sales tax averages about 8 %.Total property taxes in my city are just under $3.00 per $100.00 appraised value on the home,before exemptions.

As to utilities,that will vary widely according to the home and where you get your electricty.Texas is deregulated and every company has different rate plans.My house is about 2200 sq ft,total electric and I average $ 150-175 October through March,and about $ 250-275 in the warmer months.But my house is well insulated.Older homes will be higher,some quite a bit higher if the house is very old or even a 20 year old quickly built tract house.Insulation wasn't a big deal here years ago with a moderate climate and cheap oil.Water will vary also.I pay about $ 50.00 in the cool months,and anywhere between that and $100.00 in the months I have to water the lawn,just depending on the rainfall.

[Cbeth]

Like the person stated above, your electric cost really depends on where in Texas you live and how well insulated your home is. I live in Galveston which is on the coast near Houston. My home is 80 years old and has virtually no isulation (something we're slowly working on) so our costs are outrageous. Last year our highest electric bill was $530. It usually runs around $250-300 in the summer months, last summer was just miserably hot.

Taxes are higher here than in some places, but I still don't find that they're all that bad. There is no sales tax on food, which does help out.

[Just Lookin]

Wow, $530 a month must have cut into going out and doing fun things. This house we want is $145,000 and new so I guess its going to be about $1900 a year. Then house insurance on top of that. Over all I think it is going to be cheaper than here in California, I hope. We are retired on a fixed income so I would hate to move there and have to go to work at my age.

[Washington]

I lived in Texas for 7 years. The AC will make your electric bill high. If you can stand the house at 82 and section off your house as so not to cool the whole 1900 sq feet I think that you may be ok. Put on a white metal roof or/and add as much insulation in the attic as you can. ( Lows has blocks of insulation and a device to blow it in the attic for cheap. ) All this will help your heating too , but AC is the big bill maker. :

[Just Lookin]

Thanks Washington, that is good advice.

[BobTex]

I live in the small part of Texas that has not deregulated their electricity. Our electric bill for 2200 sq. ft is from $150 (temperate months) to $325 in cold winter or hot summer.......we are all electric! Good advice above too!

[Just Lookin]

Are you saying that when you use nothing, your bill can be $150? What is deregulated mean? How do I know what area would have this?

I talked with my Realtor today and she said something that was very strange to me. She said, if your taxes come in to high, you can write the tax people back and complain and they will lower it. hummm?? That the taxes change every year? Our taxes never change unless we move or have some type of ad on put on our property.

[lifertexan]

Bound

The minimum bill is so small,usually around $10 that you will always go over it,even being gone with just the fridge going.As far as I know,all of Texas is deregulated except where the local co-ops have chosen not to.The big electric suppliers in cities and towns had no choice,but some of the rural co-ops could choose not to deregulate.Deregulation means that you have a choice from many different suppliers and can shop for cheaper rates,like long distance phone service.Checking out your prospective address is about the only sure way to know if it is in a deregulated area,but if you are in a large town or city it is probably deregulated.Some small towns and many rural areas are still regulated,which means you buy from the supplier that serves that area with no choice.

Don't put too much stock in what real estate people say about taxes.Their job is to sell you the highest price house you can afford.Getting them lowered is pretty hard.You have to contest the appraisal value on your house and have proof that they have overvalued it.The taxes can change if the governments raise the percentage rate of value for their area,but there are caps on how high they can go.They can also choose to revoke certain exemptions like the homestead if they want.They also change as the value of your house goes up and they reappraise it,since the tax is based on the value of the house.

[Just Lookin]

Thanks Lifer, Boy what we would give to have a choice in who you use for your electric. We are stuck with one. Same with our phone service. Stinks.

Well, here I come this weekend. I am so excited to come and see Texas. I can't wait to try the BBQ Ribs. I hear so much about.