Lots for Your Money, But High Property Taxes
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10/3/2009
Since housing is the most expensive component of COL, I'll focus on that. To be sure houses come in 3 sizes of large in Texas so you get a lot for your money and quality construction. There are no basements so storage has to be built into the square footage. That's why they seem so big. Property taxes will run you 2-3 + % per annum on the value of the home so figure that in. However, Texas has no state income tax, so that's where the state gets their revenue.
Many areas have HOA dues that will cost anywhere from $300 per year to several thousand, depending upon the neighborhood so keep that in mind.
I just returned from there at the end of Sept. Houses below 300k are selling fast. The houses above that are struggling and there are deals to be had so if you're in the market for that price range, and have some cash you can really negotiate. If you are coming from the coasts or Cali, possibly some other large cities in the Midwest you will be impressed with comps. and overall cost of living seems reasonable. However, if you are relocating from anywhere else, it may seem kind of expensive.
Water and electricity are the main utilities that will run you some money. However, Austin has initiatives and incentive programs to help pay for and offset the cost of installing solar panels for your home so if you are going to stay in your house long term, you can mitigate some of your electrical costs over time. Electricity is high because you have to run your A/C much of the year.
Like lots of larger cities, there is plenty of competition for your business so you can find lots of deals on everything from cars to clothing. Austin is one of the most active places for blogging so Freecycle and Craigslist are alive and well there to help you find anything and everything on the cheap.
Amy | Austin, TX