Rising Texas Insurance Costs Deepen Housing Affordability Strain
Texas insurance costs remain elevated even as home prices soften and inventory expands across the state. Texas Department of Insurance data and mid-2026 housing figures show why lower asking prices alone may not resolve Housing Affordability pressures for buyers and existing homeowners managing the full cost of ownership. Key Takeaways Texas homeowners paid an average annual premium of $3,506 in 2025, based on preliminary state data. The average statewide homeowners insurance rate change slowed to 4.3 percent in 2025 after increases of 21.1 percent in 2023 and 18.7 percent in 2024. Texas recorded a statewide median home sales price of $340,000
