Texas Moving Cost Guide 2026

Texas's zero income tax has made it the #1 destination for California and New York relocators, driving the largest state-to-state migration in the nation. For a household earning $100,000: compared to California (top rate 13.3%), you could save $6,000-$12,000 annually; compared to New York (top rate 10.9%), you could save $5,000-$10,000 annually; compared to Illinois (top rate 4.95%), you could save $2,000-$5,000 annually.

The catch: Texas property taxes average 1.6-2.2% of assessed value—the 6th-highest nationally. On a $350,000 home, that's $5,600-$7,700 annually. However, the $100,000+ homestead exemption for school taxes and no income tax still delivers net savings for most households earning above $60,000. Property taxes are among the highest in the nation (1.6-2.2% average), partially offsetting income tax savings for homeowners

Texas's size means costs vary dramatically by metro. Austin and Dallas are 15-20% more expensive than San Antonio and Houston. Remote workers earning California salaries ($120,000+) see the largest benefit, effectively receiving a 10-13% raise by relocating to Texas.

Texas hosts more military installations than any other state, including the Army's largest post (Fort Cavazos, formerly Fort Hood) and the military's only joint base for all service branches (Joint Base San Antonio). Over 230,000 active-duty, National Guard, and Reserve personnel are stationed in Texas.

Fort Cavazos (Killeen/Temple): The largest active-duty post in the free world. BAH rates are relatively low ($1,200-$1,800) but housing off-post is extremely affordable. The Killeen area has abundant military-friendly housing but limited entertainment—many families live in Temple or Georgetown for better amenities.

Joint Base San Antonio: Combines Fort Sam Houston, Lackland AFB, and Randolph AFB. San Antonio offers the best quality of life for military families in Texas—strong schools, cultural amenities, and affordable housing. BAH: $1,600-$2,200.

Fort Bliss (El Paso): The Army's second-largest installation by area. El Paso's cost of living is among the lowest for any military town in the US. The PPM profit potential for a move from, say, Fort Liberty to Fort Bliss (1,500 miles) can be $3,000-$5,500. Texas's no income tax means your military pay stretches further than at bases in states like Virginia or California.

Texas's zero income tax, no tax on retirement income, and affordable housing have made it a fast-growing retirement destination, particularly for retirees from California, Illinois, and the Northeast.

Top Retirement Communities: San Antonio is Texas's premier retirement city—rich culture, world-class healthcare (MD Anderson satellite), and living costs 20-30% below Austin. Georgetown (north of Austin) was named "Most Beautiful Town in Texas" and has a vibrant 55+ community. Fredericksburg offers Hill Country charm with a German heritage. Galveston provides coastal living.

Tax Treatment: No state income tax on any income, though property taxes average 1.6-2.2% of home value. Property taxes are the tradeoff—at 1.6-2.2%, a $300,000 home costs $4,800-$6,600 annually. However, Texans 65+ receive a $10,000 additional homestead exemption for school taxes and can defer property taxes entirely.

Healthcare: MD Anderson Cancer Center and Texas Medical Center in Houston are world-renowned, with major systems statewide. The Texas Medical Center in Houston is the world's largest medical complex—a major asset for retirees who need specialized care.

Retirement Move Strategy: Texas's size means retirement lifestyles vary dramatically. Hill Country (Fredericksburg, Kerrville) offers rural charm; San Antonio provides urban amenities; the Gulf Coast delivers beach living. Rent in your target area for 3-6 months before buying.