Buy It
Right

Hurricane Harvey (2017) changed how Houston buyers think about flood risk. Tens of thousands of homes that flooded were outside the FEMA Special Flood Hazard Area on the official map. The FEMA map alone is not enough.

Three datasets together give a usable picture: the FEMA Flood Map, the Harris County Flood Education Mapping Tool, and the specific property's flood-claim history (available through disclosure forms and historic-claim databases).

The single most common buyer mistake is checking FEMA and stopping there. The map last updated in 2007 in many tracts. The county tool surfaces the actual high-water marks during Harvey and Imelda — sometimes two streets away from a "no-risk" FEMA zone.

Ask: did the property flood in Harvey, Imelda, or the May 2024 derecho?

Texas has no state income tax. Schools, county services, and infrastructure are funded by property tax instead. Effective rates in Greater Houston run 2.0 to 3.0 percent of assessed value annually.

On an $600,000 home in Cypress, that is $12,000 to $18,000 a year. Hong Kong buyers used to Hong Kong's effective rate (under 1 percent of rental value) often miscalculate by a factor of five in the first month.

The number is paid monthly through escrow alongside the mortgage. So the real monthly cost of ownership is principal plus interest plus property tax plus homeowner's insurance plus HOA. PITI-A. Not just PI.

Ask: what is the full PITI-A on this property, not just principal and interest?

School zones change. The address advertised as "Cy-Fair ISD" today may rezone next year. Boundaries shift based on enrollment, new school openings, and district capacity. The MLS listing is descriptive, not contractual.

The only authoritative verification is the district's own zone-finder tool, queried by the specific street address. Cy-Fair, Katy, and Fort Bend all publish these tools online.

For Hong Kong families where school zone is the primary decision driver, this is the single most important pre-offer check. Buying for a specific elementary or high school requires confirming current assignment in writing, and understanding the district's rezoning history for that street.

Ask: has this specific street been rezoned in the last 10 years?

Three add-ons that buyers often discover at closing, not during the offer.

HOA (Homeowner Association): Most master-planned communities — Bridgeland, Cinco Ranch, Sienna — charge $700 to $1,800 annually. Some have transfer fees at closing. Review the HOA bylaws during option period.

MUD (Municipal Utility District): Common in newer suburbs without city water infrastructure. The MUD bond is paid through additional property tax, often $0.40 to $1.50 per $100 of valuation. This is on top of the base tax rate.

PID (Public Improvement District): Less common but present in some Katy and Fulshear developments. Adds further to the effective tax rate.

Ask: what is the total effective tax rate, with MUD and PID included?

The option period is the buyer's most powerful tool in Texas. For a small fee (typically $100 to $500) and a typical 5 to 10 days, the buyer can terminate the contract for any reason and get the earnest money back.

This window is for: a full inspection, a sewer-scope inspection if the property is older than 20 years, a foundation evaluation given Houston's expansive clay soil, and a survey review for boundary issues.

The mistake is treating option period as a formality. It is leverage. If the inspection finds issues, the seller will often credit repairs or reduce the price, knowing the alternative is the buyer walking with their money back.

Ask: what does my licensed inspector specifically look for in a Houston home of this age?

Closing costs in Texas typically run 2 to 4 percent of purchase price for the buyer. On a $600,000 home, that is $12,000 to $24,000 on top of the down payment.

Components include: title insurance (lender's policy is required; owner's is optional but recommended), survey, appraisal, lender origination fees, escrow setup for property tax and insurance, recording fees, and HOA transfer fees.

Some are negotiable. Seller credits — where the seller covers a portion of buyer closing costs — are legal in Texas and increasingly common in slower markets. The cap depends on loan type (3 to 9 percent of purchase price).

Ask: what cash will I bring to the closing table, total?

Not every lender knows how to underwrite a Hong Kong-background buyer. Three paths each require a lender comfortable with that path.

Conventional with U.S. credit: Available if the buyer has at least 24 months of U.S. credit history, two years of U.S. tax returns, and stable U.S. employment. Most lenders handle this.

ITIN mortgage: For buyers without an SSN but with an Individual Taxpayer Identification Number. Down payment typically 20 to 25 percent. Rates 1 to 2 percent above conventional. Specialty lenders only.

Foreign-national loan: For buyers based outside the U.S. Down payment 30 to 40 percent. Hong Kong income and assets are accepted with documentation. Rates 1.5 to 3 percent above conventional.

Ask: how many ITIN or foreign-national files has this lender closed in the last 12 months?

New construction in Cypress, Katy, and Fulshear is heavily marketed to HK-background buyers. The pitch is appealing: brand new, builder warranty, energy efficient, customizable. The tradeoffs are real.

Builder incentives over price reductions. Builders rarely drop list price (it sets the comp for the rest of the community). They will throw $10,000 to $30,000 of incentives at the buyer — rate buydowns, design-center credits, closing-cost coverage. These are negotiable. Most buyers do not push hard enough.

Inspection still required. "New" does not mean "no defects." Final-walk inspections regularly find HVAC issues, missing insulation, plumbing rough-ins out of spec. Always hire an independent inspector, not the builder's.

Ask: what incentive will be applied if I bring an outside lender?

Comps — comparable sales — are the foundation of fair pricing. Honest comp reading is harder than it looks.

Useful comps share four attributes with the subject property: same neighborhood (not just same city), similar square footage (within 15 percent), similar year built, and closed within 90 days. Comps over six months old in a moving market are misleading.

Two adjustments matter most. Lot size: a 8,000 sq ft lot is meaningfully different from a 5,500 sq ft lot in the same subdivision. Condition: a renovated kitchen and updated HVAC adds real dollars; cosmetic-only updates add very little.

Ask: which three comps does my agent consider strongest, and what adjustments were made?

Most "rent vs buy" math is wrong because it compares rent to mortgage payment. That is not the comparison.

The right comparison. Rent — fully expensed, no equity, no maintenance, no property tax — versus full PITI-A, plus average annual maintenance (1 to 2 percent of value), plus opportunity cost on the down payment, minus expected price appreciation, minus the principal portion of the mortgage payment (which is forced savings, not expense).

For a $600,000 Cypress home: monthly cost of ownership runs $4,400 to $5,200. Comparable rental on the same street runs $2,800 to $3,400. Buying is more expensive month-to-month for the first three to five years. The equity build, tax benefits, and appreciation only catch up over a five-plus year horizon.

Ask: at my expected holding period, what is the break-even between renting and owning?

Since the August 2024 NAR settlement, Texas REALTORS® must have a signed Buyer Representation Agreement before showing MLS listings. This changed the rules for everyone.

The BRA defines four things in writing: who represents whom (the agent works for the buyer), what the agent will do, how long the engagement runs, and how the agent is paid. The buyer-paid commission piece is the most common point of confusion.

The agreement can be limited to a single property tour, a single day, a week of touring, or a longer engagement. It is not an exclusive forever contract. Hong Kong buyers nervous about commitment can sign a one-property or one-day version to start.

Ask: can we start with a single-property BRA before a longer engagement?

The hardest risk to see is the one in your own head.

Real timeline drivers. Lease ending. Visa decision. Child starting school. Aging parents arriving. Promotion or relocation. Tax-year planning. These are real and they should drive the search.

False urgency drivers. "Rates might go up." "Prices might run away." "This one is unique." All three are true in some form, all three are also true at every moment in every market. None of them improves the decision quality.

The right question is not "should I buy now or later." The right question is "is my information complete enough to make a decision I can stand behind." If yes, go. If no, the next 30 days finding out are worth more than the next 30 days of urgency.

Ask: which parts of my urgency are real, and which are stories?