New Homes by Budget
New Construction Homes Under $500,000 in Austin
Where to actually find new construction under $500,000 across the Austin metro, with live listings, the suburbs that fit this budget, and the honest tradeoffs. Free buyer representation, since the builder pays.
The short answer
Around $500,000 opens up the full breadth of new construction across the Austin metro. As of 2026 there are well over 1,500 new homes under $500,000, including larger single-family homes, better lots, and more of the closer-in and top-school communities. This is the budget where you can prioritize location, size, or schools rather than trading all three away.
Under $500,000, new construction spans Georgetown, Leander, Round Rock, Pflugerville, Manor, Hutto, Kyle, and Buda, plus entry-level homes in higher-end areas like Cedar Park and Dripping Springs.
Live from the MLS
2,666 new homes under $500,000
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New ConstructionWhere to look
Austin suburbs with new homes under $500,000
Start with these suburb guides. Each pulls its own live inventory and lays out schools, taxes, commute, and the honest tradeoffs.
Georgetown
Williamson Co.North of Austin along I-35
Georgetown new homesLeander
Williamson Co.Northwest of Austin
Leander new homesRound Rock
Williamson Co.North of Austin along I-35
Round Rock new homesCedar Park
Williamson Co.Northwest of Austin
Cedar Park new homesPflugerville
Travis Co.Northeast of Austin
Pflugerville new homesHutto
Williamson Co.Northeast of Austin
Hutto new homesKyle
Hays Co.South of Austin along I-35
Kyle new homesBuda
Hays Co.South of Austin along I-35
Buda new homesDripping Springs
Hays Co.West of Austin
Dripping Springs new homesWhat this budget buys
A new home under $500,000, honestly
Larger single-family homes, roughly 2,200 to 3,200 square feet, on better lots, with access to more established, amenity-rich communities and higher-rated schools. Some semi-custom and Hill Country options come into range at the entry level.
The tradeoffs
What to weigh
- Even at $500,000, brand-new homes inside central Austin are rare, since new construction is a suburban product here
- MUD or PID taxes remain common, so confirm the combined rate before comparing communities
- In the highest-demand areas like Cedar Park and Dripping Springs, $500,000 reaches only entry-level new product
- More choice means more decision fatigue, so a clear must-have list keeps the search focused
On your side of the table
How to get the most home under $500,000
- +Use the wider selection to hold out for the right lot, school zone, and floor plan rather than settling
- +Weigh a larger home farther out against a smaller home closer in, using the all-in monthly cost
- +Negotiate upgrades and rate buydowns, which builders discount more freely than base price
- +Register representation early so an advocate reviews the builder contract and incentives before you sign
On new construction the builder pays your representation, so all of this costs you nothing. Updated August 6, 2026.
Good to know
New homes under $500,000, answered
- How many new homes near Austin are under $500,000?
- As of 2026 there are well over 1,500 new construction homes under $500,000 across the Austin metro, spanning most suburbs and including larger homes and better lots than lower price bands.
- What does $500,000 buy in a new Austin home?
- Generally a larger single-family home from roughly 2,200 to 3,200 square feet on a better lot, in an established amenity-rich community with strong schools. Entry-level semi-custom and Hill Country homes also come into range.
- Can you buy a new home in central Austin for under $500,000?
- Rarely. New construction in the Austin metro is overwhelmingly a suburban product, so under $500,000 you are choosing among the surrounding suburbs rather than central Austin itself.
- Which suburbs have the best new homes under $500,000?
- Georgetown, Leander, Round Rock, Pflugerville, and Hutto offer strong choice under $500,000, with entry-level homes in higher-end Cedar Park and Dripping Springs. The best fit depends on schools, commute, and taxes.
- Is buyer representation free at this price on new construction?
- Yes. The builder pays the buyer agent commission on new construction, so Luke represents you at no cost to you and protects your side of the contract, incentives, and inspections.
Related
Keep exploring
- 01New Homes by SuburbCompare new construction by Austin suburb: price, commute, taxes, and schools.
- 02Search New Construction HomesLive new-build MLS listings across the Austin metro, filterable by price and build status.
- 03Master-Planned CommunitiesHonest, buyer-side guides to the metro's biggest new-home communities.
- 04Do You Need a Buyer's Agent?Why the builder's on-site agent is not on your side, and why your agent is free.
Free buyer representation
Looking for a new home under $500,000?
Tell Luke your budget and must-haves and he will send the best new-construction matches under $500,000, register your free representation, and flag the real all-in cost including taxes before you tour.
Luke Allen
Licensed Texas REALTOR, TREC #788149
Austin Marketing + Development Group