July 2025 Austin Market Update | Affordable New Construction Homes in Austin Suburbs

Alisha Wilson • August 2, 2025

Are you on the lookout for affordable new construction homes near Austin but feel priced out by the city’s soaring market? You’re not alone. The median price for a new home in Austin hit around $700,000 in June 2025—double what you’d pay in many surrounding suburbs for similar square footage. But here’s the exciting part: you can still buy a brand-new, full-size home with yards, garages, and builder warranties for roughly $300,000 just outside the city. In this comprehensive July 2025 Austin Market Update, we dive into affordable new construction homes in Austin’s suburbs, breaking down where you get the most value, which suburbs are on the rise, and how to navigate the market smartly.

We’ll also explore the upscale suburbs for buyers wanting premium features and long-term stability, plus share insider tips on why having your own buyer’s agent could save you thousands when purchasing new construction. Whether you’re an upgrader, trendsetter, maverick, futurist, settler, classic, or heritage buyer, this guide helps you make the smartest move for your lifestyle and budget.

To simplify your home search, don't forget to download our FREE Guide to Austin and Its Suburbs . This guide is filled with crucial details about neighborhoods, amenities, major employers, tax rates, and weather insights—everything you need to make an informed decision on your new home!

Table of Contents

Austin vs Austin Suburbs Overview

First, let’s set the stage with a direct price comparison. In June 2025, Austin’s median new construction price was around $700,000, reflecting a 3% increase from the previous year. Meanwhile, surrounding suburbs like Elgin, Taylor, Hutto, and Manor offer median prices all under $400,000. That’s a significant difference—almost half the price—for homes that are nearly as large.

Here’s a crucial detail: the average new home in Austin is about 2,500 square feet, while suburban new builds average around 2,000 square feet. So, for roughly the same living space, you can pay double inside Austin or buy two new homes in Elgin for the price of one in Austin.

Another important nuance is how most market updates lump all sales together—from condos and townhomes to luxury million-dollar homes—making it hard to get a clear picture of single-family homes that buyers actually want. This update filters the data to focus only on single-family homes with three to five bedrooms in recovering suburbs, so you know exactly where value lies.

Year-Over-Year Trends

  • All suburbs covered are down year-over-year, ranging from small dips in Taylor and Georgetown to a notable 19% drop in Hutto.
  • Austin itself has seen a 2% increase in median price despite the cooling market.
  • Suburbs offer larger yards and lower taxes, making them even more attractive despite slightly smaller home sizes.

Elgin Texas: The Best Value for New Homes Under $300K

If you’re a maverick buyer — someone who values authenticity, space, and doesn’t mind being first in line — Elgin might be your perfect match. Known for its genuine Texas flavor and growing barbecue scene, Elgin offers median new construction prices around $300,000, the lowest among the seven suburbs tracked.

Elgin new construction homes overview

Year-over-year, Elgin’s median price dropped nearly 8%, with half the homes sold in June priced between $200,000 and $300,000, and the other half between $300,000 and $400,000. The lowest sale last month was just under $200,000, and the highest was $395,000 — well below Austin’s median.

Location-wise, Elgin is a practical choice. It’s just a 10-minute drive to popular barbecue joints like Meijer’s and Southside Market, about 30 minutes to Tesla, 40 minutes to Samsung, and roughly 45 minutes to downtown Austin. This makes it ideal for first-time buyers and investors alike, with low entry costs and rising rental demand as more people move east.

Taylor Texas: Why the Samsung Campus Makes Taylor a Hotspot for Futurists

Taylor is attracting futurist buyers—those betting on tomorrow’s boom by investing early. With Samsung’s $17 billion campus underway, Taylor is poised for rapid growth. The median new construction price in Taylor is about $323,000, down 7% from last year, making it a great entry point before the area heats up.

Most homes sold last month (78%) ranged between $300,000 and $400,000, with the lowest sale around $280,000 and the highest just over $377,000. Taylor is transforming quickly: what were once open fields are now master-planned communities featuring pools, trails, and co-working spaces. This evolution appeals to buyers willing to accept some construction noise today for substantial equity gains tomorrow.

Hutto Texas: Great for Upgraders Seeking More Space

For upgraders—buyers wanting more house for their money and anticipating fast growth—Hutto stands out. The median new construction price is about $337,000, down a striking 19% year-over-year, one of the steepest drops in the region. This gives buyers a wide range of options, with homes sold last month between $250,000 and $590,000.

Hutto’s location is ideal, nestled between Taylor and Round Rock with quick access to major highways like 130 and 79. The Co-Op District is emerging as Hutto’s social hub, featuring food halls, breweries, and outdoor events, which appeals to buyers who want space but also a lifestyle and community vibe.

Hutto new construction homes and lifestyle

Manor Texas: Where Trendsetters Are Finding Affordable Homes

Manor is a hotspot for trendsetters—buyers spotting potential before the crowd arrives. Median home prices here are around $380,000, down nearly 4% year-over-year. About 70% of homes sold last month ranged from $300,000 to $400,000. Builders like KB Home and D.R. Horton have a strong presence, increasing inventory and keeping prices reasonable despite Austin’s spillover demand.

Manor’s location is a big selling point, with toll road access putting you just 25 minutes from downtown Austin and 20 minutes from Tesla’s factory. This accessibility combined with value pricing makes Manor attractive to buyers who want more for their money.

Higher-End Austin Suburbs: Pflugerville, Round Rock & Georgetown

For buyers with larger budgets seeking bigger homes, premium features, and stronger resale value, Pflugerville, Round Rock, and Georgetown represent the higher end of Austin’s suburbs. These areas attract different buyer types:

  • Settlers: Buyers wanting suburban balance, solid amenities, and easy Austin access.
  • Classics: Those seeking proven schools, steady resale, and proximity to major employers like Dell.
  • Heritage crowd: Buyers drawn to timeless neighborhoods, golf courses, and historic downtowns.

Pflugerville: The Settler’s Sweet Spot

Pflugerville appeals to settlers looking for convenience, community, and access to Austin. The median new construction price is around $455,000, with June sales closing between $371,000 and $600,000. Prices are down 23% from last year, providing move-up buyers with more home for their money.

Currently, 52% of homes listed in Pflugerville are over $500,000, but only 15% of June’s closings hit that mark, indicating strong negotiating power for buyers. The LISO neighborhood leads sales in the area, with reputable builder Taylor Morrison actively developing there.

Pflugerville’s location is unbeatable—minutes from Samsung and Dell campuses, shopping at Stonehill Town Center, and outdoor fun at Lake Pflugerville. It’s an excellent option for buyers wanting more amenities and space than Austin offers without the premium price of Georgetown.

Pflugerville new construction and amenities

Round Rock: The Classic Choice

Round Rock is where classic buyers find their fit. These buyers prioritize proven schools, solid resale value, and proximity to tech employers. The median new construction price here is about $385,000, with June sales ranging from $359,000 to $890,000, down 11% year-over-year.

Notably, over 40% of active listings are priced at $500,000 or more, and 36% of June closings were in that range, showing steady movement in the high-end market. The Salerno neighborhood is a standout, with KB Home offering a variety of modern floor plans.

Round Rock also offers quick access to I-35, Dell’s campus, and recreational spots like Old Settlers Park and the Dell Diamond, making it a solid suburban choice with predictable resale potential.

Georgetown: For the Heritage Crowd

Georgetown attracts buyers who value upscale features, timeless neighborhoods, and a semi-custom home feel. The median new construction price is about $480,000, with June sales ranging from $300,000 to nearly $1 million.

The Parkside on the River neighborhood led new construction sales last month, with Perry Homes building there. Georgetown’s market skews more premium, with 62% of listings priced above $500,000 and 45% of closings in that range, more than Pflugerville or Round Rock.

The city’s charm comes from its historic downtown, golf course communities, and large lots—amenities you won’t find closer to Austin. It’s perfect for move-out buyers or empty nesters looking for upscale living with strong resale potential and room to grow long term.

Georgetown new construction and historic charm

Why Using a Buyer’s Agent Matters When Purchasing New Construction

Whether you’re buying in budget-friendly suburbs or premium neighborhoods, one thing remains constant: you need someone representing your interests during the new construction buying process. Here’s why:

  • The builder’s representative works for the builder. Their job is to protect the builder’s bottom line, not yours.
  • Your buyer’s agent advocates for you. They negotiate on your behalf, help you navigate contracts, and keep the process on track.
  • Having your own agent can save you thousands. From negotiating upgrades to ensuring fair pricing, an experienced agent is your best ally.

Don’t rely solely on the builder’s rep. Bringing your own buyer’s agent is one of the easiest ways to ensure you’re fully represented from start to finish.

Final Thoughts: Which Suburb Fits Your Lifestyle?

Let’s stack it all up:

  • Elgin, Taylor, Hutto, and Manor offer new construction homes under $400,000. Austin’s median sits at $700,000 with smaller yards and higher taxes. Even with year-over-year price drops, these suburbs provide excellent value for upgraders, trendsetters, mavericks, and futurists.
  • Pflugerville, Round Rock, and Georgetown provide higher-end options that remain below Austin’s city prices but cater to different buyer profiles. Pflugerville offers balance and new builds, Round Rock delivers proven schools and commutes, and Georgetown offers premium, semi-custom homes with large lots.

If you’re trying to decide which budget-friendly suburb suits your lifestyle, be sure to download our FREE Guide to Austin and Its Suburbs . It’s packed with neighborhood details, key amenities, major employers, tax information, and weather insights—everything you need to make an informed decision.

For those eyeing higher-end suburbs, we can help you compare premium communities and builders to maximize your budget. And if you want to talk it through, book a Zoom call with us or call us at 512-648-2828 . Whether your move is in ten days or ten months, we’re here to help you make the smartest move possible!

FAQs About the July 2025 Austin Market Update

Can I still find new construction homes under $300,000 near Austin?

Yes! Suburbs like Elgin and Taylor offer new single-family homes under $300,000, providing great value compared to Austin’s median price of around $700,000.

What are the main benefits of buying in Austin suburbs compared to Austin city?

Suburbs generally offer lower prices, larger yards, lower property taxes, and less congestion. You often get more space for your money, plus growing community amenities.

Which suburbs are best for buyers looking for long-term growth?

Taylor is a hotspot for futurists betting on growth due to Samsung’s new campus. Hutto and Manor are also growing quickly, with master-planned communities and increasing amenities.

Why should I bring my own buyer’s agent when buying new construction?

Builder reps work for the builder, not you. Your own buyer’s agent advocates for your interests, negotiates better terms, and can save you thousands.

What higher-end suburbs near Austin offer good resale value and amenities?

Pflugerville, Round Rock, and Georgetown are top choices. They offer proven schools, access to major employers like Dell and Samsung, and a range of home styles from semi-custom to upscale.

How can I learn more about the best suburbs for my needs?

Download the free Austin Suburbs Guide by scanning the QR code or book a call with local experts who can help you navigate neighborhoods, pricing, schools, and more.

Alisha & Matthew Wilson

With years of experience in both residential and investment properties, they are dedicated to helping clients navigate Austin’s thriving market.

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