5 most affordable neighborhoods in Dripping Springs

Discover Dripping Springs’ Most Affordable Neighborhoods!

Dripping Springs, Texas is a rapidly growing city located just west of Austin. Known for its stunning natural scenery, booming economy, and excellent schools (according to Niche.com!), Dripping Springs has become a sought-after destination for homebuyers from all over America!

Dripping Springs Real Estate Agent stats for the month of December 2022

Unfortunately, this covid-era popularity has led to skyrocketing housing prices making it difficult for many people to afford a home in the area. However, there are still some affordable neighborhoods in Dripping Springs that offer excellent value for the price.

As of this post in February 2023- the average home value for homes currently for sale in Dripping Springs (homes with under 2 acres in DSISD) is $811,000 and $275/sq ft. Coupled with high interest rates and high homes prices, affordability seems pretty unattainable for people right now. These neighborhoods may be a great option when looking for something more affordable within Dripping Springs ISD.

Here are the top 5 most affordable neighborhoods in Dripping Springs.

1. Heritage neighborhood by M/I Homes and Tri-Pointe Homes

Heritage is a new subdivision in Dripping Springs situated right off of Old Fitzhugh and RR12, offering homes starting in the high $300,000s. With a variety of floor plans and customization options, Heritage is a great option for those who want a new home with a small yard in a brand new neighborhood close to downtown Dripping and the high school.

The neighborhood will feature a community park, a future pool and easy access to Dripping Springs’ schools and downtown Historic Mercer Street shopping. The tax rate in this neighborhood will be higher due to the extra tax to fund the PID, 2.613% and a quarterly HOA fee of $135.

Click HERE to learn more about Heritage and click HERE to join the facebook group where I will provide up to date information about the neighborhood. Want to buy a home here? Just contact me and we can schedule a consult!

2. Texas Heritage Village and Big Sky Ranch by Meritage Homes

Another great option for new homes in Dripping Springs is Texas Heritage Village, built by Meritage Homes. With resale homes built in the last few years starting in the $400,000s, Texas Heritage is an affordable option for those who want a newer, energy-efficient home in a built out and established neighborhood. There aren’t any amenities in this neighborhood other than a small common space park.

Also built by Meritage Homes, Big Sky is another affordable new home neighborhood in Dripping Springs. Homes in Big Sky Ranch start in the upper $300,000s and offer a range of customization options. They do have homes with backyards, but most of these homes are very close to the neighboring homes and have no backyards. Some of the residents have used black iron fencing to fence a side yard or front yard for their pets and kids.

The neighborhood features a community park, playground, and walking trails, they are building a community pool as well as easy access to Dripping Springs’ schools and shopping options. A trail system links both neighborhoods to the hub of the town- Founder’s Park and also Mercer Street Historic District.

This is the most central neighborhood to everything going on in Dripping Springs and feeds into Dripping Springs Elementary School. There is a lower tax rate ranging from 1.9- 2.15% and a HOA fee of $65/month in Texas Heritage Village and $45/month in Big Sky Ranch. Want more info on these homes? Call me for a consult!

3. Springlake

If you’re looking for an older home on a larger lot, Springlake is a great affordable option. Homes in this neighborhood are situated on .5-3 acre lots, offering plenty of space and privacy. Homes in this neighborhood were built in the 1980s-2000s. While the homes are older, and sometimes smaller (1,100-1700 sq ft), it is a great neighborhood for those who want light restrictions and more property than a zero lot line home in Big Sky.

This neighborhood has several airbnb properties in it, light deed restrictions, a $35/year POA fee and a lower tax rate of 2.07%. Want more info on homes in this neighborhood? Call me for a consult and I can show you the homes currently listed in the MLS.

4. Ledgestone

Ledgestone is a single family home neighborhood created as a condo community. It is the furthest neighborhood towards Austin that is still currently zoned for DSISD. Homes in Ledgestone were built in the early 2000s and offer an affordable option for those who want to be closest to the city, but still zoned for Dripping Schools.

The neighborhood features a community pool, playground, and basketball court. The HOA fee is $735/year with a higher tax rate of 2.614%. Right across the street is Belterra Village with lots of retail. Ledgestone is getting it’s own retail area built with a Chipotle coming soon! Yum! We will be there weekly! Interested in learning more? Call me and we can tour some homes in Ledgestone!

5. Deer Creek

Deer Creek is another great option for those who want an older home with light restrictions. This neighborhood sits off RR12 near Hamilton Pool on your way to Bee Cave. Homes in Deer Creek are situated on mostly half-acre to several acre lots, providing a nice balance of space and affordability. There are a mix of new construction, older homes from the 1990- early 2000s, and mobile homes in this neighborhood. The roads in Deer Creek/Twin Lakes neighborhood are hit or miss- some are well paved and others have long been forgotten and have massive pot holes.

The neighborhood features a private lake (if you choose to pay for access with the voluntary HOA fee) and easy access to Dripping Springs’ and Lake Travis’ excellent schools and Hill Country Galleria shopping in Bee Cave. Deer Creek Ranches are zoned for DSISD, but the adjoining neighborhood that shares the community lake in Twin Lake Hills is zoned for Bee Cave (Lake Travis ISD) schools. You’ll need to double check which one the home is currently zoned for if that is important to you. The tax rate in this community ranges from 1.8-2% with a voluntary $13/monthly HOA. There are also several Airbnbs in this neighborhood since the deed restrictions are very light. Interested in this neighborhood? Call me to tour homes here!

Dripping Springs Real Estate Agent Lauren Clark working on laptop in a home in Dripping Springs

While unaffordability is a major issue in the Dripping Springs housing market and among the community members, there are still affordable neighborhoods that offer excellent value for the price. Whether you’re looking for a new home or an older home on a large lot, there are plenty of options to choose from in Dripping Springs. Consider checking out Heritage, Texas Heritage Village, Big Sky Ranch, Springlake, Ledgestone, and Deer Creek Ranches as some of the most affordable neighborhoods in the area.

And as always- contact me to do a deep dive with you on the current, hyper-local real estate market and where would be some great neighborhoods to check out in Dripping Springs!

Just give me a call 512-569-8480 or email me at laurenclark@magnoliarealty.com

Click HERE to view current homes on the market.

Click HERE to get a FREE home valuation

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Magnolia Realty Austin Hill Country

101 S. College St.

Dripping Springs, Texas


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