Austin TX: Is It Too Late to Move Here in 2026?

Justin Rossi • December 29, 2025

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TL;DR

Moving to Austin TX in 2026 is still a smart long-term investment, but it requires strategic planning and understanding the evolving market. While the city has grown beyond its 'sleepy town' days, opportunities abound in real estate, particularly with new construction incentives and the burgeoning healthcare sector. Success hinges on aligning your goals with the right neighborhood or suburb and having expert guidance.

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After living in Austin our entire lives and watching it evolve from a sleepy live music town to a booming metropolitan area, we can confidently say that it’s not too late to move to Austin TX. While opinions vary—some say it’s overpriced or overcrowded, and many locals lament that it “ain't what it used to be”—the truth is, Austin continues to offer significant opportunities for those making a smart, long-term investment.

As Austin natives and local real estate experts, we've helped numerous individuals and families navigate this dynamic market. We've witnessed the city's incredible growth firsthand, understanding both the challenges and the unique advantages it presents. Our experience allows us to separate fact from fear-based narratives, providing a clear picture of what it truly means to build a life here today.

In this comprehensive guide, we'll explore the Austin TX real estate market, delve into the job landscape, examine new construction opportunities, and discuss the vibrant lifestyle that still draws people here. We'll also address the crucial question: Is it worth moving to Austin now, and how can you make your relocation a success? Let's dive into the market's recent history.


The Austin TX Real Estate Market: A Look Back and Forward


The past five years in Austin's real estate market have been a rollercoaster, shaping the current landscape for anyone considering a move to Austin TX. During the 2020-2022 COVID boom, we saw incredibly low interest rates and a surge in demand, partly fueled by the rise of remote work. This allowed people to choose where they lived, and many chose Austin, leading to intense competition, multiple offers, and homes selling well over asking price with waived appraisals.

Our own experience reflects this timing; we bought our home in South Austin's Onion Creek in 2019, just before the pandemic, securing a great deal and later locking in a super low interest rate. However, as 2022 and 2023 unfolded, interest rates began to climb significantly. This caused a market shift, with homes sitting longer and buyer competition cooling as values remained high despite higher borrowing costs.

Looking at 2025 and heading into 2026, we've observed a "start-stop" market. Buyers who were previously on the fence are reacting to small dips in interest rates, leading to temporary surges in offers. Ultimately, life happens—job changes, transfers, divorces—and people can only delay their decisions for so long. We predict a considerable increase in buyer demand sometime in early to mid-2026, or perhaps later in the year, depending on interest rate movements. This makes right now a potentially rare opportunity to strike while home values are still down and before a predicted boom.


Understanding Austin Home Prices in 2026


Everyone wants to know about Austin home prices, and here's the current reality: we've seen about an 11% correction since the market's peak during COVID. This means homes have become more affordable compared to 2020-2022, and the market has been rebounding in 2025. Currently, we're observing an upward tick in home values and increased buyer demand, signaling forward momentum into 2026.

Despite these changes, Austin is still considerably more affordable if you're relocating from major cities like Los Angeles, New York, or even Portland. This period could be one of those rare sweet spots where you can secure a home for a really good deal before another upward swing in demand and values. Austin was recently ranked the number one buyer market in the entire United States, and we don't expect that status to last indefinitely. People still want to live here; the hype is real.


Austin's Growth and the Dynamic Job Market


When considering if it is worth moving to Austin, the city's growth and its impact on the job market are crucial factors. While we've seen some substantial layoffs from big tech companies in recent years—even in fields like 3D-printed housing with Icon—these tech giants aren't going anywhere. They've made long-term strategic investments in Austin and are simply adjusting to economic shifts, not abandoning the city. We don't foresee any of these major players shutting down or relocating in the foreseeable future.

Beyond tech, a massive wave of growth is coming from the healthcare sector. Over the next 5-10 years, UT Austin alone is projected to invest $2.5 billion into new medical towers. This expansion isn't confined to the city center; biotech and healthcare industries are expanding with billions of dollars across the greater Austin area, both north and south of the city. We're currently seeing about 7,000 new jobs per year in healthcare, a number we expect to rise significantly with these expansions.

This robust job growth isn't limited to white-collar positions; demand for blue-collar jobs is also very high, creating a diverse and supportive ecosystem. Austin is not a "fix and flip" market right now; it's not a get-rich-quick scheme. Instead, it’s a long-term investment, much like our family's purchase of 57 acres in Dripping Springs back in the '70s. What was once rural land is now incredibly valuable luxury living, demonstrating the power of a long-term play in Austin's growth trajectory. For more insights on the Austin market, you might want to watch Watch this BEFORE you move to Austin TX - if you're thinking of relocating you need to see this!

New Construction and Buyer Opportunity: Buying a Home in Austin TX


For those looking to buy a home in Austin TX, new construction presents a wealth of opportunities, especially now. During the market boom, builders became a bit overzealous, starting projects with the expectation of continued high demand. As a result, they still have inventory and permitted lots, continuing to add to the market even when buyer demand isn't quite at its peak.

This situation is fantastic for buyers like you. Builders are currently offering insane incentives and steep discounts to attract buyers. We're talking about places like Goodnight Ranch and Easton Park, which are closer to the urban core, offering more urban-adjacent living. Further out, in the suburbs, you'll find places like The Ranches at Dripping Springs and Sawyer Ranch, where you can get a luxury home for considerably less than in areas like West Lake Hills, often with more space.

These master-planned communities in areas like Dripping Springs, Cedar Park, Buda, and Kyle often come with desirable amenities such as pools, clubhouses, and dedicated office spaces, making suburban living incredibly convenient. This is a prime time to explore new builds, as the incentives can significantly offset higher interest rates.


The Austin Lifestyle: Weather, Culinary, and Music Scene


Beyond the market, the Austin lifestyle is a huge draw. Yes, it's hot here – that's a given in any video about moving to Austin. But the cool part is, there are plenty of ways to beat the heat. We love spending time at places like Barton Springs, Zilker Park, Hamilton Pool, and Lake Travis, which all offer refreshing escapes.

Austin's culinary scene has exploded with the city's growth, attracting incredible talent. You'll find Michelin award-winning restaurants and James Beard award-winning chefs offering fine dining experiences. But just as easily, you can indulge in fantastic street tacos, food trucks, and gourmet burgers. The city truly offers a world of culinary delights for every taste and budget.

And of course, there's the music scene. Austin is still the "Live Music Capital of the World." You can find live music every single night, not just on Sixth Street, but spread throughout the city and its suburbs. Dripping Springs hosts a songwriter festival, and Buda has Budapest (not to be confused with the European city, but a nod to its vibrant culture). It's an awesome way to meet people and find your tribe if you're new to the city. Austin may be different than it once was, but it's still beautiful, still weird in the best kind of way, and still a place many people love to call home.


Inbound Migration and the Suburban Shift: Relocate to Austin TX Smart Move


While some long-time locals are leaving Austin because it's not the same city it used to be, yearning for the "good old days," net inbound migration remains high. We see a significant influx of residents from places like California, Chicago, and Florida. Buyers are generally more cautious these days, keeping a close eye on interest rate hikes, inflation, and the overall cost of living nationwide. This market uncertainty across the country is leading many to make a strategic choice: investing and moving to the suburbs instead of the city center.

In areas like Dripping Springs, Buda, Kyle, Pflugerville, and Round Rock, your dollar simply goes a lot farther. We believe the upside for investment potential is higher in these areas because they still have substantial growth ahead as Austin and its surrounding region expand. Plus, these suburbs often offer excellent school systems, less traffic, more space, and that desirable small-town charm with a strong community vibe. This balanced approach is key to making your relocation to Austin TX a smart move today.


So, Is It Too Late to Move to Austin TX?


To directly answer the question, "Is it too late to move to Austin TX?" we don't think so. However, it could be if you move for the wrong reasons or pick the wrong neighborhood. Austin is no longer a quick win; it's a long-term lifestyle and investment play. The key is alignment: you need to align your budget, your desired lifestyle, your commute, and future-proof your investment. As we always advise our clients, you can change the bathroom finishes or kitchen countertops, but you can't change the location of your home. Choosing the right area is paramount.

We've created an Austin relocation guide to help outline what to do, what to look for, and where to go when you visit, allowing you to get to know the city like a local before committing to a specific living area. This strategic approach ensures you find the perfect home in an area you're truly comfortable with. If you're still exploring the decision to move, we suggest checking out Watch this BEFORE you move to Austin TX - if you're thinking of relocating you need to see this!  for a foundational understanding.



key Takeaways


  • Austin is a long-term investment, not a quick flip: While home prices saw an 11% correction from their peak, they are now rebounding, making it a strategic time for buyers focused on long-term equity growth, similar to our family's successful 1970s land investment in Dripping Springs.

  • Healthcare is driving massive job growth: With UT Austin investing $2.5 billion in medical towers and the broader region expanding, Austin anticipates 7,000+ new healthcare jobs annually, diversifying the economy beyond tech and increasing overall demand.

  • New construction offers significant buyer incentives: Builders, having over-projected demand, are currently providing substantial discounts and incentives in communities like Goodnight Ranch, Easton Park, and the Ranches at Dripping Springs, creating rare opportunities for buyers.

  • Suburbs provide greater value and lifestyle benefits: For many, areas like Dripping Springs, Buda, Kyle, Pflugerville, and Round Rock offer better affordability, more space, quality schools, and a strong community vibe, making them increasingly attractive for inbound migration and long-term investment.

  • Strategic planning is crucial for a successful move: Success in Austin today depends on carefully aligning your budget, lifestyle, and commute with the right neighborhood or suburb, emphasizing location above all else for a future-proof investment.


Frequently Asked Questions (FAQ)


Q: Is Austin still a good place to move to?

A: Yes, Austin is still a good place to move to, especially for those seeking long-term investment and a vibrant lifestyle. While it's no longer the sleepy town it once was, its evolving job market, particularly in healthcare, and continued inbound migration from other major cities demonstrate its enduring appeal. The key is to approach the move strategically, focusing on your long-term goals and choosing the right community.

Q: What is the Austin real estate market like?

A: The Austin real estate market has seen an 11% price correction since its COVID-era peak and is now experiencing an upward tick in home values and buyer demand as we head into 2026. It's currently considered a buyer's market by some metrics, especially with new construction offering significant incentives. However, we anticipate increased competition if interest rates drop, making now a potentially advantageous time for a move.

Q: Are home prices in Austin TX affordable?

A: Compared to major coastal cities like Los Angeles or New York, Austin home prices are considerably more affordable. While they are higher than they were a decade ago, the recent market correction and current builder incentives on new construction offer unique opportunities to get a good deal. Many relocating buyers find the value proposition strong, especially when considering the robust job market and quality of life.

Q: How is the job market in Austin for tech?

A: While Austin's tech sector has experienced some layoffs recently, major tech companies have made long-term investments in the city and are not expected to leave. More significantly, the healthcare and biotech sectors are undergoing massive expansion, with billions in new investments and thousands of new jobs projected annually. Additionally, demand for blue-collar jobs supporting these industries remains very high, creating a diverse and resilient job market.

Q: When is the best time to buy a house in Austin?

A: Based on current trends, the present moment (late 2025/2026) could be one of the best times to buy a house in Austin. Home values are still down from their peak, and builders are offering aggressive incentives on new construction. We predict a significant increase in buyer demand and potentially higher prices if interest rates drop further in 2026, suggesting that acting sooner rather than later could secure a better deal.

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For more insights, watch the complete video: Is It Too Late To Move to Austin TX? Well, that all depends...

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Making Your Move Easier


Moving forward does not have to be overwhelming. With the right guidance and support, you can navigate this journey smoothly. New Construction and Buyer Opportunity are ready to help you every step of the way.

Here's how to get in touch:

📧 Email: justin@justin-rossi.com

📞 Phone: (512) 312 7379


💻 YouTube: Everything Austin TX


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