Should You Buy a New Build in North Texas?  MUD and PID – The Hidden Tax No One Talks About

Should You Buy a New Build in North Texas? MUD and PID – The Hidden Tax No One Talks About

Senior Mortgage Broker
Wes Gregg
Published on March 4, 2026

Should You Buy a New Build in North Texas? MUD and PID – The Hidden Tax No One Talks About

A lot of buyers in North Texas are being attracted to builder incentives on new construction homes.

Lower interest rates.
Closing cost credits.
Maybe even upgrades.

But there is a cost many buyers don't fully understand when purchasing new builds in developing communities.

MUD taxes.

In this video we compare two real homes in Denton Texas:

New Build:
5416 Corduroy Road
Price: $279,990
1434 sq ft
Located in a new DR Horton community

Resale Home:
1424 Brandywine Circle
Price: $280,000
1348 sq ft
Located inside Denton city limits with no HOA and no MUD taxes.

While the purchase prices are almost identical, the long-term cost difference can be significant because of municipal utility district taxes and other community fees.

In this video we break down:

• What MUD and PID taxes actually are
• Why many new developments in North Texas have them
• How they impact your monthly housing cost
• How a resale home inside city limits compares
• What buyers should look at beyond builder incentives

If you're considering buying a home in Denton, Argyle, Aubrey, Prosper, Celina, or anywhere in North Texas, understanding the tax structure of the neighborhood can make a major difference in long-term affordability.

My goal is to help buyers look beyond the marketing and understand the real numbers.

If you have questions about buying in North Texas

Senior Mortgage Broker
Wes Gregg Senior Mortgage Broker
Click to Call or Text:
(817) 781-9392