How do I find out if a new home is in a MUD or a public improvement district?
The seller has to tell you, in writing. If the house is in a municipal utility district or another district that provides water, sewer, drainage or flood control, Texas Water Code Chapter 49 requires a notice about the district’s tax rate, its bonded debt or its standby fee, delivered and signed before the contract is final (TREC No. 23-20 ¶6E(3)). If it isn’t given before you sign, the law lets you terminate the contract. If it arrives late and you close anyway, that right is gone (Texas Water Code §49.452(f)). If the house is in a public improvement district, the seller owes you a separate notice of your obligation to pay its assessment (Texas Property Code §5.014; TREC No. 23-20 ¶6E(7)). Ask for both before you sign, and read the numbers in them.