Dripping Springs, often referred to as the “Gateway to the Hill Country,” is one of the fastest-growing communities in Central Texas. With its picturesque landscapes, highly-rated schools, and proximity to Austin, it’s no surprise that homebuyers and investors are keeping a close eye on the Dripping Springs real estate market in 2025.
Last week I attended an event by the development department in dripping Springs and learned more about the approved neighborhoods, coming soon restaurants, updates on the wastewater lawsuit with Save Our Springs and the water supply plans. It was extremely informative and I wanted to update you here as well!
Rapid Growth and Upcoming Developments
The population of Dripping Springs continues to rise, leading to a surge in residential developments. Several large-scale housing development projects are underway and coming soon to Dripping Springs.
- Double L – 2,408 lots
- Wild Ridge – 960 lots
- Cannon Ranch – 375 lots
- New Growth – 245 lots
- Ranch at Caliterra – 234 lots
- Village Grove – 511 units
- Ariza Springs – 293 units
These new housing developments cater to a wide range of buyers and even include an entire rental community, New Growth, and apartments on HWY 290, Ariza Springs. These communities will take 3-10 years to complete.
Dripping Springs’ Commitment to Sustainability
As the city expands, it is prioritizing environmental sustainability through its Landscape & Tree Preservation Ordinance. This ordinance ensures that large trees (18” or bigger) and certain smaller trees are protected during new developments. If removal is necessary, developers must replant native trees to maintain the area’s natural beauty.
Additionally, the ordinance includes water conservation measures for new subdivisions and commercial projects, such as:
- Allowing only drought-tolerant grass types like Zoysia and Bermuda.
- Limiting the amount of turf area to conserve water.
These eco-conscious regulations make Dripping Springs an attractive market for buyers who prioritize sustainable living.
Utility and Infrastructure Updates
Wastewater Permit Update
A significant development in local utilities is the ongoing wastewater permit process. The Texas Commission on Environmental Quality (TCEQ) granted the permit in 2019, but opposition groups appealed the decision. The city presented oral arguments in October 2024, with a final decision expected by May 2025. The outcome will impact future development and infrastructure planning in the region.
Water Providers in Dripping Springs
The city is served by three main water providers:
- West Travis County Public Utility Agency (PUA)
- Dripping Springs Water Supply Corp.
- City of Dripping Springs
Ensuring adequate water supply will be crucial as more residential and commercial projects break ground and the city and WTPUA are exploring expanding the water supply for the growing community by adding a second water line into the area.
Transportation Improvements: Enhancing Connectivity
As Dripping Springs grows, so does the need for improved transportation infrastructure. The Transportation Master Plan outlines several key projects, including:
- Roger Hanks Extension – A major roadway expansion to support increased traffic.
- Village Grove Parkway – Improving access to new residential developments.
- Old Fitzhugh Improvements – Enhancing the historic downtown district.
- FM150/RR12 Roundabout – Easing congestion at a critical intersection.
- Sidewalk Expansions – Improving pedestrian access near Dripping Springs Middle School and the Mercer district.
These transportation upgrades will significantly enhance mobility, making commuting easier for residents and increasing property values in the long term.
Wildfire Prevention and Community Safety
Given the region’s susceptibility to wildfires, Dripping Springs has implemented proactive safety measures. Homeowners are encouraged to create defensible spaces around their properties by:
- Clearing dead plants, leaves, and debris.
- Using fire-resistant landscaping materials.
- Keeping grass and weeds trimmed.
- Removing flammable debris from gutters, roofs, and decks.
Residents can also request free fire safety consultations from local fire authorities to better prepare their homes.
Why Invest in Dripping Springs Real Estate?
The combination of rapid growth, sustainable development, improved infrastructure, and a strong commitment to environmental conservation makes Dripping Springs a prime real estate market in 2025. Whether you’re looking to buy, sell, or invest, the city’s strategic expansion and long-term planning create significant opportunities for real estate success.
Key Takeaways for Buyers and Investors:
- Booming housing developments with thousands of new lots available.
- Eco-conscious policies that promote tree preservation and water conservation.
- Major infrastructure improvements enhancing roads, sidewalks, and utilities.
- Increasing property values as demand for homes continues to grow.
- Commitment to safety and sustainability, making it an attractive location for families and retirees.
Check out my Dripping Springs Guide HERE.
Click HERE to see my youtube channel on Dripping Springs
Click HERE to view current homes on the market
Click HERE to get a FREE home valuation
Click HERE to learn more about the local adventure and businesses!
