Moving from Texas to Middle Tennessee: The 2026 Relocation Guide

Tennessee added 42,389 net new residents through domestic migration in 2025 — the fourth-largest gain in the country — and Texas now ranks among the top five states sending people here. That catches most people off guard. Texas is supposed to be the destination, not the departure gate.

Here is what makes this move different from the California or New York relocations we handle: Texas already has no state income tax, and Texas homes are cheaper than ours on the sticker. So the usual pitch does not apply. Texans who move to Middle Tennessee are not chasing a lower purchase price. They are chasing a lower annual carrying cost — the property tax bill and the insurance premium that show up every single year, forever. Once you run those numbers side by side, the logic gets clear fast.

Why Texans Are Leaving Texas

Texas spent a decade as the country’s undisputed migration magnet, but the momentum has cooled sharply — the state’s net domestic migration has slowed roughly 69% from its peak. The reasons Texans give when they call us tend to repeat themselves.

The first is the property tax bill, which in Texas is not a rounding error but a second mortgage payment. The second is insurance: hail, wind, and hurricane exposure have pushed Texas premiums to among the highest in the nation, and they keep resetting upward at renewal. The third is quality of life — the summer heat that now routinely runs triple digits for weeks, the sprawl that turned a fifteen-minute commute into fifty, and in a growing number of North Texas and Hill Country communities, genuine questions about long-term water supply.

Middle Tennessee answers most of that. You keep the no-income-tax advantage you already had, you get four real seasons, the Cumberland and Duck River systems keep the region water-secure, and Nashville is a genuine job market rather than a bedroom community feeding one.

The Housing Math: Texas Wins the Sticker, Tennessee Wins the Carry

Let us be straight with you, because you will find this out anyway. As of mid-2026, the Texas statewide median sale price is about $341,800 and has actually softened around 1.8% year over year. Austin sits near $440,000 (down roughly 3.3%), Dallas-Fort Worth near $390,000, and Houston near $324,000. The Nashville metro median is about $475,000 and edged up around 0.5%.

So yes — on a pure purchase-price basis, most Texas metros are cheaper than Nashville right now. And if you are targeting the suburbs Texans actually gravitate toward, the gap widens: Williamson County’s median runs near $992,000, and Franklin sits around $925,000, roughly $345 per square foot. If you are selling a $600,000 house in Plano or Katy, you should plan on writing a bigger check here, not a smaller one, to land in the top school zones.

What changes is everything that comes after closing. A Texas buyer trading a $500,000 Austin-area home for a $700,000 Franklin home is often surprised to find their total monthly outlay lands within a few hundred dollars — because the tax and insurance side of the payment collapses. If you want to see what that actually buys, browse current Williamson County homes for sale and compare square footage and lot size against what you are leaving.

Property Taxes and Insurance: Where the Real Savings Live

This is the section that decides most Texas relocations. Texas carries an effective property tax rate in the range of 1.6% to 1.8% — consistently ranked among the ten highest in the United States. Tennessee runs somewhere around 0.5% to 0.7%, among the lowest.

The mechanics matter too. Tennessee taxes residential property on an assessed value equal to just 25% of appraised value. In Williamson County, the rate is roughly $1.30 per $100 of assessed value — so a $700,000 home is assessed near $175,000 and generates a county tax bill in the neighborhood of $2,275 a year. Compare that to Travis County, where combined rates commonly land between 1.8% and 2.5%: a $400,000 Austin home can run $7,200 to $10,000 annually, even after applying the $140,000 statewide school homestead exemption.

Insurance compounds it. The average Texas homeowners premium has climbed to roughly $4,915 a year, while Tennessee averages about $2,240. Stack the two together and a relocating family frequently frees up $6,000 to $10,000 per year in carrying cost — which, at current rates, is meaningful additional mortgage capacity rather than just savings.

One honest caveat: Tennessee funds itself differently, and our sales tax is higher. Combined state and local sales tax here averages around 9.5% — the highest in the country — versus roughly 8.2% in Texas, and Tennessee still applies a reduced state rate to groceries where Texas exempts them. For most households the property tax and insurance savings dwarf the sales tax difference, but you should know the tradeoff going in rather than discovering it at the register.

Where Texas Transplants Land in the Nashville Area

Franklin is the single most common landing spot for Texans, and the Southlake and Westlake comparison comes up in almost every conversation — a walkable historic downtown, top-tier schools, and a strong corporate base in Cool Springs. Brentwood draws executives relocating from Highland Park and Memorial, with larger lots, mature hardwoods, and an easy run up I-65 into Nashville.

Nolensville and Thompson’s Station tend to attract families coming out of the fast-growth North Texas corridor — Prosper, Celina, Frisco — because the feel is familiar: newer construction, young families, strong schools, and a small-town center that has not been swallowed yet. Spring Hill is where the value math works hardest, with substantially more house per dollar and a manufacturing employment base. Mt. Juliet, east of Nashville, functions a lot like Round Rock does to Austin — commuter-friendly, lake access at Old Hickory, and comparatively attainable pricing.

The right choice usually comes down to commute direction and school zoning, and Tennessee zoning is assigned strictly by property address. Two houses on opposite sides of the same street can feed different schools, so verify the zone for the specific address before you fall in love with a floor plan.

Making the Move: What to Do First

Start with the school zone, not the house. Pick the zone, then let inventory inside that zone define your search. It is the one variable you cannot renovate your way out of after closing.

Second, reset your expectations on assessments. Tennessee counties reappraise on a four-to-six-year cycle rather than annually, so your assessed value does not chase the market the way a Texas appraisal notice does every spring. That predictability is a real part of the value here, and it means the tax figure you underwrite at closing tends to hold.

Third, understand that you are arriving in a buyer’s market, which is a genuine gift after years of Texas bidding wars. Williamson County is running near 56 days on market with roughly eight months of supply and homes closing around 99% of list price. Sellers are negotiating on price, on closing costs, on rate buydowns, and on repairs. Do not waive your inspection out of Texas-market reflex — you have leverage here.

Finally, sequence the two transactions deliberately. Most Texas sellers we work with list at home, negotiate a rent-back or a delayed closing, and make one focused scouting trip to Middle Tennessee to tour three or four zones in two days. If you want that trip mapped out — or a candid read on what your Texas equity actually buys in Franklin versus Spring Hill — call or text Stephen Strickhausen at 615.480.5770 or email SStrickhausen@gmail.com.

Frequently Asked Questions About Moving from Texas to Tennessee

Does Tennessee have a state income tax?

No. Tennessee has no state income tax on wages, and the former Hall tax on interest and dividend income was fully repealed effective January 2021. This is one area where Texans do not gain anything by moving, since Texas has no income tax either — the savings in this relocation come from property taxes and insurance instead.

Are property taxes really lower in Tennessee than in Texas?

Substantially. Texas effective rates generally run 1.6% to 1.8% and rank among the ten highest nationally, while Tennessee runs roughly 0.5% to 0.7%. Because Tennessee assesses residential property at only 25% of appraised value, a $700,000 Williamson County home produces a county tax bill near $2,275 a year, where a $400,000 Austin-area home can easily run $7,200 to $10,000.

Is Nashville more expensive than Austin or Dallas?

On purchase price, yes. The Nashville metro median is about $475,000 versus roughly $440,000 in Austin and $390,000 in Dallas-Fort Worth, and Williamson County suburbs run considerably higher. On annual carrying cost, Middle Tennessee is meaningfully cheaper once property taxes and insurance are included, which is why the total monthly payment often lands closer than the sticker prices suggest.

How should I time selling in Texas and buying in Middle Tennessee?

Most clients list in Texas first, then negotiate a rent-back or extended closing to avoid carrying two payments. Because Middle Tennessee is currently a buyer’s market with around eight months of supply, you generally have time to shop carefully after your Texas home is under contract. Reach out and we will build a timeline around your specific closing date and school-year constraints.

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