What Are Escrow Requirements When Refinancing a Houston Rental?

Your new lender may require a new escrow account for property taxes and insurance. Budget 2–4 months of taxes and 12 months of insurance at closing.

• What to know: Understand every dollar involved in refinancing to make sure the math works for your Houston rental.
• Houston context: Houston closing costs are competitive with other major Texas markets. Title insurance rates are state-regulated, providing some cost predictability.
• Action step: Negotiate lender fees, shop title companies, and calculate your break-even point before committing to any refinance.

Bottom Line

The true cost of refinancing goes beyond the rate — factor in all closing costs and calculate how long it takes to recoup them through lower payments.