diff --git a/test/functional/abc-mempool-accept-txn.py b/test/functional/abc-mempool-accept-txn.py
--- a/test/functional/abc-mempool-accept-txn.py
+++ b/test/functional/abc-mempool-accept-txn.py
@@ -13,7 +13,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
 )
 from test_framework.cdefs import MAX_STANDARD_TX_SIGOPS
 from test_framework.key import CECKey
@@ -80,7 +80,7 @@
 
     # this is a little handier to use than the version in blocktools.py
     def create_tx(self, spend_tx, n, value, script=CScript([OP_TRUE])):
-        tx = create_transaction(spend_tx, n, b"", value, script)
+        tx = create_tx_with_script(spend_tx, n, b"", value, script)
         return tx
 
     # sign a transaction, using the key we know about
@@ -123,7 +123,7 @@
             coinbase.rehash()
             block = create_block(base_block_hash, coinbase, block_time)
             # spend 1 satoshi
-            tx = create_transaction(spend.tx, spend.n, b"", 1, script)
+            tx = create_tx_with_script(spend.tx, spend.n, b"", 1, script)
             self.sign_tx(tx, spend.tx, spend.n)
             self.add_transactions_to_block(block, [tx])
             block.hashMerkleRoot = block.calc_merkle_root()
diff --git a/test/functional/abc-mempool-coherence-on-activations.py b/test/functional/abc-mempool-coherence-on-activations.py
--- a/test/functional/abc-mempool-coherence-on-activations.py
+++ b/test/functional/abc-mempool-coherence-on-activations.py
@@ -22,7 +22,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
     make_conform_to_ctor,
 )
 from test_framework.key import CECKey
@@ -78,7 +78,7 @@
 
     # Fund transaction
     script = CScript([public_key, OP_CHECKSIG])
-    txfund = create_transaction(
+    txfund = create_tx_with_script(
         spend.tx, spend.n, b'', 50 * COIN, script)
     txfund.rehash()
 
@@ -203,7 +203,7 @@
         # scriptPub=OP_TRUE coin into another. Returns the transaction and its
         # spendable output for further chaining.
         def create_always_valid_chained_tx(spend):
-            tx = create_transaction(
+            tx = create_tx_with_script(
                 spend.tx, spend.n, b'', spend.tx.vout[0].nValue - 1000, CScript([OP_TRUE]))
             tx.rehash()
             return tx, PreviousSpendableOutput(tx, 0)
diff --git a/test/functional/abc-minimaldata.py b/test/functional/abc-minimaldata.py
--- a/test/functional/abc-minimaldata.py
+++ b/test/functional/abc-minimaldata.py
@@ -15,7 +15,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
     make_conform_to_ctor,
 )
 from test_framework.messages import (
@@ -140,7 +140,7 @@
             value = spendfrom.vout[0].nValue
 
             # Fund transaction
-            txfund = create_transaction(spendfrom, 0, b'', value, script)
+            txfund = create_tx_with_script(spendfrom, 0, b'', value, script)
             txfund.rehash()
             fundings.append(txfund)
 
diff --git a/test/functional/abc-replay-protection.py b/test/functional/abc-replay-protection.py
--- a/test/functional/abc-replay-protection.py
+++ b/test/functional/abc-replay-protection.py
@@ -14,7 +14,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
     make_conform_to_ctor,
 )
 from test_framework.key import CECKey
@@ -152,7 +152,7 @@
         def create_fund_and_spend_tx(spend, forkvalue=0):
             # Fund transaction
             script = CScript([public_key, OP_CHECKSIG])
-            txfund = create_transaction(
+            txfund = create_tx_with_script(
                 spend.tx, spend.n, b'', 50 * COIN - 1000, script)
             txfund.rehash()
 
diff --git a/test/functional/abc-schnorr.py b/test/functional/abc-schnorr.py
--- a/test/functional/abc-schnorr.py
+++ b/test/functional/abc-schnorr.py
@@ -13,7 +13,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
     make_conform_to_ctor,
 )
 from test_framework.key import CECKey
@@ -163,7 +163,7 @@
             value = spendfrom.vout[0].nValue
 
             # Fund transaction
-            txfund = create_transaction(spendfrom, 0, b'', value, script)
+            txfund = create_tx_with_script(spendfrom, 0, b'', value, script)
             txfund.rehash()
             fundings.append(txfund)
 
diff --git a/test/functional/abc-schnorrmultisig.py b/test/functional/abc-schnorrmultisig.py
--- a/test/functional/abc-schnorrmultisig.py
+++ b/test/functional/abc-schnorrmultisig.py
@@ -16,7 +16,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
     make_conform_to_ctor,
 )
 from test_framework.key import CECKey
@@ -166,7 +166,7 @@
             value = spendfrom.vout[0].nValue
 
             # Fund transaction
-            txfund = create_transaction(spendfrom, 0, b'', value, script)
+            txfund = create_tx_with_script(spendfrom, 0, b'', value, script)
             txfund.rehash()
             fundings.append(txfund)
 
diff --git a/test/functional/feature_block.py b/test/functional/feature_block.py
--- a/test/functional/feature_block.py
+++ b/test/functional/feature_block.py
@@ -11,7 +11,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
     get_legacy_sigopcount_block,
     make_conform_to_ctor,
 )
@@ -1310,7 +1310,7 @@
 
     # this is a little handier to use than the version in blocktools.py
     def create_tx(self, spend_tx, n, value, script=CScript([OP_TRUE])):
-        return create_transaction(spend_tx, n, b"", value, script)
+        return create_tx_with_script(spend_tx, n, b"", value, script)
 
     # sign a transaction, using the key we know about
     # this signs input 0 in tx, which is assumed to be spending output n in spend_tx
@@ -1350,7 +1350,7 @@
             coinbase.rehash()
             block = create_block(base_block_hash, coinbase, block_time)
             # spend 1 satoshi
-            tx = create_transaction(spend.tx, spend.n, b"", 1, script)
+            tx = create_tx_with_script(spend.tx, spend.n, b"", 1, script)
             self.sign_tx(tx, spend.tx, spend.n)
             self.add_transactions_to_block(block, [tx])
             block.hashMerkleRoot = block.calc_merkle_root()
diff --git a/test/functional/feature_cltv.py b/test/functional/feature_cltv.py
--- a/test/functional/feature_cltv.py
+++ b/test/functional/feature_cltv.py
@@ -8,7 +8,7 @@
 1351.
 """
 
-from test_framework.blocktools import create_block, create_coinbase, make_conform_to_ctor
+from test_framework.blocktools import create_block, create_coinbase, create_transaction, make_conform_to_ctor
 from test_framework.messages import (
     CTransaction,
     FromHex,
@@ -81,16 +81,6 @@
     return fundtx, spendtx
 
 
-def spend_from_coinbase(node, coinbase, to_address, amount):
-    from_txid = node.getblock(coinbase)['tx'][0]
-    inputs = [{"txid": from_txid, "vout": 0}]
-    outputs = {to_address: amount}
-    rawtx = node.createrawtransaction(inputs, outputs)
-    signresult = node.signrawtransactionwithwallet(rawtx)
-    tx = FromHex(CTransaction(), signresult['hex'])
-    return tx
-
-
 class BIP65Test(BitcoinTestFramework):
     def set_test_params(self):
         self.num_nodes = 1
@@ -101,14 +91,15 @@
         self.nodes[0].add_p2p_connection(P2PInterface())
 
         self.log.info("Mining {} blocks".format(CLTV_HEIGHT - 2))
-        self.coinbase_blocks = self.nodes[0].generate(CLTV_HEIGHT - 2)
+        self.coinbase_txids = [self.nodes[0].getblock(
+            b)['tx'][0] for b in self.nodes[0].generate(CLTV_HEIGHT - 2)]
         self.nodeaddress = self.nodes[0].getnewaddress()
 
         self.log.info(
             "Test that an invalid-according-to-CLTV transaction can still appear in a block")
 
-        fundtx = spend_from_coinbase(self.nodes[0], self.coinbase_blocks[0],
-                                     self.nodeaddress, 49.99)
+        fundtx = create_transaction(self.nodes[0], self.coinbase_txids[0],
+                                    self.nodeaddress, 49.99)
         fundtx, spendtx = cltv_lock_to_height(
             self.nodes[0], fundtx, self.nodeaddress, 49.98)
 
@@ -144,8 +135,8 @@
             "Test that invalid-according-to-cltv transactions cannot appear in a block")
         block.nVersion = 4
 
-        fundtx = spend_from_coinbase(self.nodes[0], self.coinbase_blocks[1],
-                                     self.nodeaddress, 49.99)
+        fundtx = create_transaction(self.nodes[0], self.coinbase_txids[1],
+                                    self.nodeaddress, 49.99)
         fundtx, spendtx = cltv_lock_to_height(
             self.nodes[0], fundtx, self.nodeaddress, 49.98)
 
@@ -193,8 +184,8 @@
 
         self.log.info(
             "Test that a version 4 block with a valid-according-to-CLTV transaction is accepted")
-        fundtx = spend_from_coinbase(self.nodes[0], self.coinbase_blocks[2],
-                                     self.nodeaddress, 49.99)
+        fundtx = create_transaction(self.nodes[0], self.coinbase_txids[2],
+                                    self.nodeaddress, 49.99)
         fundtx, spendtx = cltv_lock_to_height(
             self.nodes[0], fundtx, self.nodeaddress, 49.98, CLTV_HEIGHT)
 
diff --git a/test/functional/feature_dersig.py b/test/functional/feature_dersig.py
--- a/test/functional/feature_dersig.py
+++ b/test/functional/feature_dersig.py
@@ -7,8 +7,8 @@
 Test that the DERSIG soft-fork activates at (regtest) height 1251.
 """
 
-from test_framework.blocktools import create_block, create_coinbase
-from test_framework.messages import CTransaction, FromHex, msg_block, ToHex
+from test_framework.blocktools import create_block, create_coinbase, create_transaction
+from test_framework.messages import msg_block, ToHex
 from test_framework.mininode import (
     mininode_lock,
     P2PInterface,
@@ -43,15 +43,6 @@
     tx.vin[0].scriptSig = CScript(newscript)
 
 
-def create_transaction(node, coinbase, to_address, amount):
-    from_txid = node.getblock(coinbase)['tx'][0]
-    inputs = [{"txid": from_txid, "vout": 0}]
-    outputs = {to_address: amount}
-    rawtx = node.createrawtransaction(inputs, outputs)
-    signresult = node.signrawtransactionwithwallet(rawtx)
-    return FromHex(CTransaction(), signresult['hex'])
-
-
 class BIP66Test(BitcoinTestFramework):
     def set_test_params(self):
         self.num_nodes = 1
@@ -62,7 +53,8 @@
         self.nodes[0].add_p2p_connection(P2PInterface())
 
         self.log.info("Mining {} blocks".format(DERSIG_HEIGHT - 1))
-        self.coinbase_blocks = self.nodes[0].generate(DERSIG_HEIGHT - 1)
+        self.coinbase_txids = [self.nodes[0].getblock(
+            b)['tx'][0] for b in self.nodes[0].generate(DERSIG_HEIGHT - 1)]
         self.nodeaddress = self.nodes[0].getnewaddress()
 
         self.log.info("Test that blocks must now be at least version 3")
@@ -83,7 +75,7 @@
             "Test that transactions with non-DER signatures cannot appear in a block")
         block.nVersion = 3
 
-        spendtx = create_transaction(self.nodes[0], self.coinbase_blocks[1],
+        spendtx = create_transaction(self.nodes[0], self.coinbase_txids[1],
                                      self.nodeaddress, 1.0)
         unDERify(spendtx)
         spendtx.rehash()
@@ -120,7 +112,7 @@
         self.log.info(
             "Test that a version 3 block with a DERSIG-compliant transaction is accepted")
         block.vtx[1] = create_transaction(self.nodes[0],
-                                          self.coinbase_blocks[1], self.nodeaddress, 1.0)
+                                          self.coinbase_txids[1], self.nodeaddress, 1.0)
         block.hashMerkleRoot = block.calc_merkle_root()
         block.rehash()
         block.solve()
diff --git a/test/functional/p2p_invalid_block.py b/test/functional/p2p_invalid_block.py
--- a/test/functional/p2p_invalid_block.py
+++ b/test/functional/p2p_invalid_block.py
@@ -16,7 +16,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
 )
 from test_framework.messages import COIN
 from test_framework.mininode import P2PDataStore
@@ -69,8 +69,10 @@
         block_time += 1
 
         # b'0x51' is OP_TRUE
-        tx1 = create_transaction(block1.vtx[0], 0, b'', 50 * COIN)
-        tx2 = create_transaction(tx1, 0, b'\x51', 50 * COIN)
+        tx1 = create_tx_with_script(
+            block1.vtx[0], 0, script_sig=b'', amount=50 * COIN)
+        tx2 = create_tx_with_script(
+            tx1, 0, script_sig=b'\x51', amount=50 * COIN)
 
         block2.vtx.extend([tx1, tx2])
         block2.vtx = [block2.vtx[0]] + \
diff --git a/test/functional/p2p_invalid_tx.py b/test/functional/p2p_invalid_tx.py
--- a/test/functional/p2p_invalid_tx.py
+++ b/test/functional/p2p_invalid_tx.py
@@ -10,7 +10,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
 )
 from test_framework.txtools import pad_tx
 from test_framework.messages import (
@@ -75,8 +75,8 @@
         # Transaction will be rejected with code 16 (REJECT_INVALID)
         # and we get disconnected immediately
         self.log.info('Test a transaction that is rejected')
-        tx1 = create_transaction(
-            block1.vtx[0], 0, b'\x64' * 35, 50 * COIN - 12000)
+        tx1 = create_tx_with_script(
+            block1.vtx[0], 0, script_sig=b'\x64' * 35, amount=50 * COIN - 12000)
         node.p2p.send_txs_and_test(
             [tx1], node, success=False, expect_disconnect=True)
 
diff --git a/test/functional/p2p_unrequested_blocks.py b/test/functional/p2p_unrequested_blocks.py
--- a/test/functional/p2p_unrequested_blocks.py
+++ b/test/functional/p2p_unrequested_blocks.py
@@ -56,7 +56,7 @@
 from test_framework.blocktools import (
     create_block,
     create_coinbase,
-    create_transaction,
+    create_tx_with_script,
 )
 from test_framework.messages import (
     CBlockHeader,
@@ -279,8 +279,8 @@
         block_291 = create_block(
             block_290f.sha256, create_coinbase(291), block_290f.nTime + 1)
         # block_291 spends a coinbase below maturity!
-        block_291.vtx.append(create_transaction(
-            block_290f.vtx[0], 0, b"42", 1))
+        block_291.vtx.append(create_tx_with_script(
+            block_290f.vtx[0], 0, script_sig=b"42", amount=1))
         block_291.hashMerkleRoot = block_291.calc_merkle_root()
         block_291.solve()
         block_292 = create_block(
diff --git a/test/functional/test_framework/blocktools.py b/test/functional/test_framework/blocktools.py
--- a/test/functional/test_framework/blocktools.py
+++ b/test/functional/test_framework/blocktools.py
@@ -92,20 +92,33 @@
     coinbase.calc_sha256()
     return coinbase
 
-# Create a transaction.
-# If the scriptPubKey is not specified, make it anyone-can-spend.
 
+def create_tx_with_script(prevtx, n, script_sig=b"", amount=1, script_pub_key=CScript()):
+    """Return one-input, one-output transaction object
+       spending the prevtx's n-th output with the given amount.
 
-def create_transaction(prevtx, n, sig, value, scriptPubKey=CScript()):
+       Can optionally pass scriptPubKey and scriptSig, default is anyone-can-spend output.
+    """
     tx = CTransaction()
-    assert n < len(prevtx.vout)
-    tx.vin.append(CTxIn(COutPoint(prevtx.sha256, n), sig, 0xffffffff))
-    tx.vout.append(CTxOut(value, scriptPubKey))
+    assert(n < len(prevtx.vout))
+    tx.vin.append(CTxIn(COutPoint(prevtx.sha256, n), script_sig, 0xffffffff))
+    tx.vout.append(CTxOut(amount, script_pub_key))
     pad_tx(tx)
     tx.calc_sha256()
     return tx
 
 
+def create_transaction(node, txid, to_address, amount):
+    """ Return signed transaction spending the first output of the
+        input txid. Note that the node must be able to sign for the
+        output that is being spent, and the node must not be running
+        multiple wallets.
+    """
+    raw_tx = create_raw_transaction(node, txid, to_address, amount)
+    tx = FromHex(CTransaction(), raw_tx)
+    return tx
+
+
 def create_raw_transaction(node, txid, to_address, amount):
     """ Return raw signed transaction spending the first output of the
         input txid. Note that the node must be able to sign for the