A PID, MUD, or SID is a special district that pays for the roads, water, sewer, and drainage in a new community, and the homeowners inside it repay that cost through an extra assessment or tax on top of the regular property tax. Around San Antonio, New Braunfels, and Boerne, it can add hundreds to a few thousand dollars a year to a new build, so you want the exact number for your lot before you sign. Here’s how each works, with real 2026 numbers.
Brock Bremmer | U.S. Air Force Reserves Veteran | Real Estate Agent | eXp Realty | San Antonio Metro Area
New Construction Specialist
Also see: Why Your Payment Goes Up After a New Build | Property Taxes in San Antonio | Property Taxes in New Braunfels
Why Do New Builds Have PIDs, MUDs, and SIDs?
Before a builder can sell homes, someone has to pay for the streets, water, sewer, and drainage. In many new communities around San Antonio, a developer uses a special district to finance that work, and the lots inside the district repay it over time.
That’s why two new homes at the same price, a few miles apart, can have very different monthly payments. The difference is the tax stack on the lot.
What Is a PID, and How Is It Different?
A Public Improvement District (PID) is usually created by a city or county under Chapter 372 or Chapter 382 of the Texas Local Government Code. Most PIDs charge an assessment, not a tax rate. Your lot is assigned a total amount, and you repay it in annual installments that show up on your tax bill.
Solms Landing in New Braunfels is a good real example. The City of New Braunfels’ 2026 Amended and Restated Service and Assessment Plan for the Solms Landing PID lists:
- Outstanding assessment per single-family lot: $19,142.31
- Annual installment due January 31, 2027: $1,498.66 per single-family lot
- Gross PID tax rate equivalent: $0.3727 per $100, based on an estimated $400,000 buildout value
That’s on top of the regular property taxes. Under Texas Property Code Section 5.014, the seller has to give you a written PID notice before you’re bound by the contract. The notice explains that you can pay the assessment off in full at any time or keep paying the annual installments, which can change from year to year, and that unpaid assessments can lead to a lien and foreclosure.
What Is a MUD?
A Municipal Utility District (MUD) is a water district governed by the Texas Water Code. Unlike most PIDs, a MUD charges a tax rate per $100 of appraised value, so the bill rises and falls with your appraisal.
Bexar County’s 2026 official rate list shows San Antonio MUD #1 at $0.19 per $100. On a $400,000 home, that’s about $760 a year before any exemptions, added to the regular tax stack.
MUDs come with their own notice rules. Under Texas Water Code Section 49.452, the seller has to give you the district notice before you sign a binding contract. If you don’t get it, you can terminate the contract. If you get it at or before closing and close anyway, you give up that right to terminate. You’ll sign the notice, and a copy gets recorded with your deed.
What Is a SID in Bexar County?
In unincorporated Bexar County, you’ll see Special Improvement Districts (SIDs). The Briggs Ranch SID, for example, was created by the Commissioners Court under Chapter 382 of the Local Government Code. The SIDs on the county’s list charge a tax rate per $100, on top of the county, school, and other taxes.
Bexar County’s 2026 rate list shows about 25 SIDs at $0.562880 per $100. That’s the same rate as the City of San Antonio’s 2026 tax rate. The list includes:
- West side: Briggs Ranch, Briggs Ranch II, Westpointe, Straus Medina, Talley Road, and Stolte Ranch
- North and northwest: Cibolo Canyons, Boerne Stage Road, Grace Gardens, and Landon Ridge
- South and east: Crosswinds at South Lake, Espada #1, Real Road, and Lucero
At $0.56288, a $400,000 home pays about $2,252 a year to the SID before any exemptions. A home inside the City of San Antonio pays the city rate instead of a SID rate, which is part of why the totals often land closer together than buyers expect.
Not every Bexar County district works the same way. The same rate list shows the Butterfield Ranch PID as a flat $300 on improved lots and the Hickory Ridge PID as a variable flat fee.
How Do You Find Out What Your Lot Will Pay?
Don’t rely on a community brochure or a model home flyer. Here’s the process I use with new construction buyers:
- Ask the builder for every taxing unit on the specific lot, including any PID, MUD, SID, or emergency services district.
- Check the address on the Bexar Appraisal District site or the appraisal district for Comal, Guadalupe, or Kendall County.
- For a PID, pull the city or county’s current Service and Assessment Plan and find the lot type and annual installment.
- For a MUD, look up the district in TCEQ’s water district database and confirm the current rate.
- Have your lender build the PID, MUD, or SID into the escrow estimate, so your payment estimate reflects the full tax stack.
I walk through more of what to check before you pick a community in What to Look For When Choosing a New Construction Neighborhood in San Antonio.
Is a Home in a PID, MUD, or SID a Bad Deal?
Not by itself. These districts are how many new communities get roads and utilities built at all. What matters is the total monthly cost compared with a resale or a new build somewhere else.
Compare the full tax stack, the PID payoff option if there is one, HOA dues, and any builder incentives side by side before you choose.
For a full example of how the escrow side plays out after closing, read my post on why your mortgage payment goes up after a new build.
Frequently Asked Questions: PID, MUD, and SID Taxes
Can you pay off a PID assessment early in Texas?
Usually, yes. The PID notice required by Texas Property Code Section 5.014 says the assessment may be paid in full at any time, or in annual installments that can vary from year to year. Ask the city or county administrator for a current payoff amount for your lot.
Does the seller have to tell you about a MUD before you buy?
Yes. Under Texas Water Code Section 49.452, the seller has to give you the district notice before you sign a binding contract. If you don’t receive it, you can terminate. If you receive it at or before closing and close anyway, you waive that right.
Ready to Compare New Builds Around San Antonio?
Brock Bremmer with eXp Realty is a U.S. Air Force Reserves veteran who has helped buyers and sellers close 120+ homes across the San Antonio metro. He helps new construction buyers in San Antonio, New Braunfels, and Boerne check every taxing unit on a lot, compare total monthly cost from community to community, and line up VA, FHA, or conventional financing.
- 📞 Call or text: 210-501-5088
- 📧 Email: [email protected]
- 📅 Schedule a free consultation
Also see: Kallison Ranch New Construction Guide | Property Taxes in Boerne | Builder Lenders vs Outside Lenders
Sources: Bexar County, 2026 Official Tax Rates and Exemptions; City of New Braunfels, Solms Landing PID 2026 Amended and Restated Service and Assessment Plan; Texas Property Code Chapter 5 (Section 5.014); Texas Water Code Chapter 49 (Section 49.452); Local Government Code Chapter 372; Local Government Code Chapter 382; Bexar County order creating the Briggs Ranch SID; TCEQ Water Utility Database; Bexar Appraisal District.