By Ben Jimenez
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McKinney, TX
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November 6, 2026
Check the tax bill on the exact address before you fall for a McKinney house. Texas has no state income tax, but a $500,000 McKinney homestead can run close to $7,000 a year in property taxes at 2026 rates, and two homes with the same mailing city can carry very different bills. Hail, heat and clay soil add costs of their own. You can still tour, inspect and close from another state if you line things up in the right order.
A quick note: I'm a real estate agent, not an attorney, tax advisor, lender or insurance agent, so confirm those points with the right professional.
Start with price. MLS data showed a median sale price of $509,990 for January through August 2026, up 2.0 percent from the same months of 2025. In September 2026, the median was $499,198 on 224 sales, with homes averaging 80 days on the market.
Now the taxes. Here's a hypothetical $500,000 homestead inside city limits and in McKinney ISD, using 2026 rates per $100 of value:
That comes to about $6,945. Without a homestead exemption, the same house would owe about $8,557. Part of that school rate was on the November 3, 2026 ballot, so confirm the final number.
Then weigh what you stop paying. Say your household earns $150,000 in a state with a 5 percent income tax. Dropping that tax saves roughly $7,500 a year, which about covers the bill above. Now compare what you pay in property tax and insurance today. The average Texas homeowners premium was $3,489 in 2025, a preliminary state figure, and sales tax in McKinney is 8.25 percent.
A McKinney address tells you less than you'd think. Check these on every house you like:
Don't budget off the last owner's bill, either. Texas limits how much a homestead's appraised value can rise, generally 10 percent a year, but that limit belongs to the owner. Yours starts the January after your first qualifying year, so a long-time seller's lower taxable value won't carry over.
Hail is the expensive one. State Farm alone paid $1.4 billion in Texas hail claims in 2025, more than in any other state. A typical Texas policy has a separate wind and hail deductible, and it may be a percentage of insured value rather than a flat amount. At 2 percent on a home insured for $500,000, you'd cover the first $10,000 yourself. Some companies also move aging roofs to actual cash value, which pays less. Get your insurance quote before your option period ends, not after.
Heat comes next. The National Weather Service puts the average first 100 degree day at DFW on July 1 and the average last on August 27, and the 2011 record is 71 such days. On August 17, 2026, DFW hit 106 degrees, its seventh straight day at 100 or higher. Ask the seller for a year of electric bills.
Then there's the ground. The Blackland Prairie runs north of Dallas, and its best-known clay soil shrinks and swells markedly as moisture changes. That's why foundations deserve extra attention on any North Texas inspection.
Work in this order:
Timing is on your side more than it might seem. A tracked sample of 1,625 McKinney closings over the six months through about September 2026 took a median 34 days to go under contract and 20 more to close. Before you wire anything, confirm the instructions by calling a number you already trust, never one from an email.
Moving to McKinney from another state? Call or text Ben Jimenez at 469-730-6895 and send the addresses you're watching. We'll go through the real tax picture on each one.
Possibly, for the part of the year you lived there or for income that state can still tax. Texas has no state income tax, but it can't cancel another state's rules. Ask a tax advisor how your move date and any out-of-state income affect your return.
Texas taxes are due when you receive the bill and become delinquent if unpaid on February 1 of the next year. If your lender escrows, the payment comes out of that account. Check your closing statement to see how the current year's taxes were split with the seller.
Often, yes. Under the state's rules, a buyer who acquires a home after January 1 can get the exemption for the rest of that year if the prior owner didn't receive it for that year. The home has to be your principal residence, and applications are generally due before May 1.
Yes. State law adds a $60,000 school exemption at 65 and a school tax ceiling. A 2025 rate sheet also listed a $90,000 City of McKinney exemption and $30,000 for Collin County, so confirm the current amounts with the appraisal district.
Wide. In a tracked sample of closings over the six months through about September 2026, the middle half sold between $420,000 and $658,000, at about $192 to $240 per square foot. A citywide median won't tell you what a specific house should cost.
Get a straight answer on pricing, timing, and what it would take to get you moved.
Schedule a Free ConsultationAI-assisted research and drafting, reviewed and approved by Ben Jimenez before publishing.