FM 374 begins at an intersection with SH 206 in Cross Plains, Callahan County, heading east on two-lane undivided SE First Street.

The highway leaves Cross Plains and enters open farmland with occasional trees and homes as an unnamed road.

[1][2][3] FM 374 crosses into Eastland County and turns south, coming to an intersection with SH 36.

At this point, there is a gap in FM 374, with the highway heading east from SH 36 after 0.5 miles (0.8 km).

[1][2][3] The FM 374 designation was first used on June 25, 1945 for a road running from SH 199 in Megargel to a point 6.6 miles (10.6 km) to the northeast in Archer County.