Tidbits on Real Estate

Taxes are higher. Yes, the tax rates on homes may be lower, but the average value of homes in Plano is significantly above the average in the whole area. This makes taxes higher, even though the rates are lower. In defense of Plano's higher taxes you will find their schools are highly rated. They get that way by investing tax money in the system. Of course, the attitude of the parents is a significant factor, and those parents who can afford much higher priced housing generally have higher standards for their children to attain.
How much higher? You cannot really go by the fact that per pupil tax expenditures in Plano are, for example, about the same as in Dallas, because the median home value in Plano is $219k versus $120k in Dallas. This makes the median tax bill (not the rate) for Plano $4540 (2.073%) versus $2380 (1.983%) for Dallas.
Of course individual circumstances will vary, and the tax rates are for the typical homestead valued at the respective median. So, don't think your taxes will be proportionate to your homes value compared to these median values.
For example, in Garland the median home value is lower than Dallas $116k, but the taxes on that house are higher at $2535. Richardson median $177k, taxes $3754, and so on.
Yes, the rumors are correct, but for the exact same home value in two different areas the taxes may be slightly lower in Plano than the other place. The difference is the average value is higher.
As to other contributors to monthly payment, taxes are the biggest, insurance is next, and if the HOA is collected in your monthly mortgage, then it would be either before or after your insurance. We can't say for sure what the HOA will be -- they vary from $0 to $200-300 per month. Their services and facilities range widely, too. Some with pools, some with events, some with a park, some only control yard appearance.
If your mortgage is higher than 80% of the value of the property, you probably also will have mortgage insurance. So, taxes, insurance, mortgage insurance, HOA - if any all add to your principal and interest payment. Some mortgage companies offer optional services, too, like mortgage life insurace, credit protection and so on. - Tue Jun 17 2008, 19:48