Williamson County's 2026 Construction & Remodeling Market: City by City
City-by-city housing data for Georgetown, Leander, Round Rock, Cedar Park, and Liberty Hill — plus the tariff, labor, and mortgage realities shaping your next project.
Metro Custom Builders · February 7, 2026 · 8 min read
If you own a home in Williamson County — or you're thinking about building one — the market entering 2026 looks meaningfully different than it did six months ago. Prices have shifted. Inventory has surged in some cities and stayed tight in others. Material costs are climbing. And for homeowners weighing whether to build, remodel, or move, the math has changed.
We put together a comprehensive market report covering all five communities we build in. Here are the highlights — and what they mean for you.
Five Cities, Five Very Different Stories
One of the most striking findings in our research: the gap between Williamson County's housing markets has never been wider. Same county, same school district in some cases — dramatically different dynamics.
CityMedian PriceYoY ChangeInventoryPrice CutsGeorgetown$411K–$449K−2% to −3.3%~4.8 mo59%Leander$415K–$425K−7.8% to −10.3%~5.7 mo60%Round Rock$375K–$385K−6.1% to −7.4%N/A55%Cedar Park$485K–$500K−2.9% to −11%~4.0 mo58%Liberty HillVolatile*−8.8%~14.8 mo67%
Cedar Park has the tightest inventory and highest prices — it's essentially landlocked with very little new-build land remaining. If you own a home there and want more space or updated features, remodeling is often your best (and sometimes only) realistic path forward.
Liberty Hill sits at the other extreme with nearly 15 months of inventory — 3.5 times the metro average. Master-planned communities have flooded the market with new homes, and no properties are selling above list price. If you're a buyer, this is historically strong leverage. If you're a homeowner already there, protect your equity by investing in improvements that add genuine value.
Georgetown continues to balance rapid population growth (it was the fastest-growing city in America for three consecutive years) with a housing market that's cooling. Prices are down modestly, but demand fundamentals — jobs, infrastructure, Samsung's nearby Taylor facility — remain solid.
Leander has seen some of the steepest price corrections in the metro, with homes closing at just 93% of asking price. But the 183A corridor commercial development and upcoming Scheels anchor suggest the long-term growth story is intact.
Round Rock offers the most affordable entry point at $375K–$385K, with Dell headquarters and a more established commercial base providing stability.
Across all five cities, builders are offering incentives we haven't seen in years: rate buydowns to under 5%, flex dollars worth up to 10% of base price, and closing cost credits of $10,000–$30,000. For anyone considering a new custom home, the negotiating window is wide open.
Why Remodeling Makes More Sense Than It Has in Years
If you bought or refinanced your home between 2019 and 2021, you're likely sitting on a mortgage rate between 2.5% and 4%. That rate is now one of your most valuable financial assets — and it's the single biggest factor reshaping the build-vs-buy-vs-remodel decision.
$9,500/year — the extra mortgage cost if you sell and rebuy at today's 6.1% rate (on a $400K loan at 3%)
$50,000–$80,000 — typical round-trip transaction costs on a Williamson County sell-and-buy
120% — return on investment for minor kitchen remodels in the Austin market
The numbers are stark. A homeowner who sells a $450,000 home and buys a $500,000 replacement faces $50,000–$80,000 in transaction costs plus nearly $10,000 per year in higher mortgage payments — before they've changed a single thing about their living situation. A $100,000–$200,000 whole-home renovation, by comparison, adds permanent value to the home you already love, with no rate penalty and no moving costs.
National remodeling spending is projected to reach a record $525 billion in early 2026, and the NAHB's Remodeling Market Index hit 64 in Q4 2025 — well into growth territory. Central Texas is positioned to outpace the national trend because the mortgage lock-in effect here is especially strong.
Which Improvements Are Worth It?
Not all renovations deliver equal returns. According to Zonda's 2025 Cost vs. Value report, the West South-Central region (which includes Texas) now ranks second nationally for remodeling ROI — the first time it's ever displaced New England from the top two. The highest-performing projects in our market:
Highest-ROI Improvements in Central Texas:
✓ Curb appeal upgrades — garage doors (216% ROI), steel entry doors (216%), and manufactured stone veneer (208%) all recover more than their cost at resale
✓ Minor kitchen remodels — a $25,500 midrange refresh returns roughly $30,500 (120%) in the Austin market
✓ Outdoor living — covered patios, outdoor kitchens, and fire features leverage 8+ months of usable Texas weather and are consistently top-requested
✓ Energy efficiency — high-efficiency HVAC, spray-foam insulation, and low-E windows directly reduce utility costs and boost buyer appeal
✓ Aging in place — curbless showers, wider doorways, first-floor primary suites; 80% of remodeling firms now do this work, up from 68% in 2013
Major kitchen gut-renovations and room additions return less on a percentage basis (60–80% and ~35%, respectively), but they deliver lifestyle value that ROI numbers don't capture. The key is matching the scope of work to your goals: if you're improving for resale within a few years, lean toward the high-ROI projects. If you're staying long-term, invest in what makes your daily life better.
Tariffs and Labor: The Cost Pressures You Need to Plan For
Two forces are simultaneously squeezing construction budgets across Central Texas, and homeowners planning any project in 2026 need to understand both.
Material Costs Have Jumped — And May Not Come Back Down
Building material costs have risen 34% since late 2020, driven largely by tariffs that are now the most aggressive in modern memory. Steel and aluminum carry 50% tariffs. Copper faces a 50% tariff. Softwood lumber from Canada faces combined duties of approximately 25%. Kitchen cabinets carry a 25% tariff. The NAHB estimates these tariffs add $10,900 per new home; other analyses project as much as $17,500.
For a homeowner planning a kitchen remodel, tariffs hit multiple budget lines simultaneously — cabinets, appliances, copper plumbing, and any structural steel. A project that might have cost $100,000 in 2024 could run $105,000–$115,000 today for the same scope and finishes.
The Labor Squeeze Is Real
Ninety-two percent of U.S. contractors report difficulty finding qualified workers. In Texas, where 40% of the construction workforce is foreign-born, immigration enforcement has created additional disruption. The AGC's 2025 workforce survey found 28% of construction firms have been directly affected — with subcontractors losing workers to enforcement actions or the fear of them.
For homeowners, this means longer lead times to book qualified subcontractors, especially for drywall, roofing, painting, and tile work. It also means labor costs are rising 3.7% annually, with skilled trades commanding even steeper increases.
A project that might have taken 9–12 months a year ago now routinely requires 3–4 additional weeks of buffer just for labor scheduling. Plan accordingly.
How to Protect Your Budget and Timeline:
✓ Budget a 15–25% contingency above your contract price — up from the traditional 10%
✓ Lock in pricing early — get firm quotes with expiration dates, and consider purchasing high-tariff-risk materials (appliances, cabinets, copper fixtures) before further increases
✓ Order long-lead items immediately once plans are finalized — steel, specialty windows, custom cabinets, and certain appliances can take months
✓ Finalize design decisions before construction starts — mid-project changes cascade through schedule and budget far more painfully in this environment
✓ Discuss escalation clauses with your builder — transparent cost-sharing arrangements protect both parties
The Growth Story Is Still Intact
Despite the market correction, the fundamentals that make Williamson County attractive haven't changed. The county added nearly 26,000 new residents between 2023 and 2024, making it the 10th fastest-growing county in the country. Austin's unemployment rate sits at 3.5% — well below state and national averages.
Samsung's $44 billion semiconductor plant in Taylor is 92% complete, with EUV chip production trials reportedly beginning next month. Georgetown is attracting its own wave of employers, including Pegatron (AI computing manufacturing), ZT Systems (~1,500 employees), and GAF Energy (solar roofing). Liberty Hill is getting a Costco (March 2026) and Target (June 2026).
One important watch item: water supply. Georgetown operated under Stage 2 drought restrictions through late 2025, and Liberty Hill has experienced outages significant enough to close schools. Major investments are underway — Georgetown's new Southlake Water Treatment Plant will double capacity, and a new Williamson County Water Group launched a $500,000 regional study in December — but water-efficient building practices aren't optional anymore. Every new custom home and major renovation should account for conservation requirements that are only going to tighten.
Bottom Line
Williamson County's market in 2026 rewards informed, deliberate decision-making. If you're considering a custom home, the combination of negotiable pricing, generous builder incentives, and rates trending toward 6% creates genuine opportunity — tempered by material costs and a labor market that demands patience and planning. If you're considering remodeling, the math overwhelmingly favors improving in place, especially if you're holding a sub-4% mortgage.
Either way, budgets need more cushion than they did two years ago, timing matters more than usual, and planning early translates directly into cost savings.
📄 Read the Full Q1 2026 Market Report
Detailed city-by-city data, remodeling cost ranges, builder incentive breakdowns, and the complete tariff and labor analysis — with 90+ sources.
Have questions about what any of this means for a project you're considering? We're always happy to talk it through — no pitch, just perspective.
Book a planning call · (737) 201-2856 · info@metrocustombuilders.com
About Metro Custom Builders: Metro Custom Builders is a design-build firm serving Georgetown, Round Rock, Cedar Park, Leander, Liberty Hill, and all of Williamson County. We specialize in custom homes, whole-home remodeling, kitchen and bath renovations, home additions, and outdoor living spaces — backed by our 4-Point Peace-of-Mind Guarantee: on-time completion with a $500/week late penalty, locked budgets, a 3-year warranty, and direct access to ownership.