Ed Neuhaus 
Austin. The Live Music Capital of the World. Tesla’s home. The place everyone seems to be moving to.
And you’re thinking about it too.
So lets talk about what you’re actually getting into when you move to Austin, Texas in 2026. I’ve been selling homes here for 16 years, I live in Bee Cave, and I’ve watched this city transform from a quirky college town into one of the fastest-growing metros in the country. I’ve also helped dozens of families make this exact move.
This isn’t a tourism guide. This is the real picture: what it costs, where to live, how to find work, what the weather’s actually like (spoiler: it gets HOT), and the practical stuff nobody tells you until you’re already here.
Why People Are Moving to Austin
Let me start with the obvious: no state income tax. Texas doesn’t have one. If you’re coming from California or New York, that alone is a significant financial shift. But that’s just table stakes. Here’s what else is pulling people here:
The job market is real. An estimated 16.3% of all jobs in Austin are tech-related, far exceeding the national average. Apple, Tesla, Google, Oracle, Meta — they’re not just here, they’re building billion-dollar campuses and hiring thousands of people. Austin added 228,088 jobs from 2018 to 2023, with nearly 48,000 of those in tech alone.
But it’s not just tech. Austin’s also a hub for semiconductors (Samsung’s $17 billion investment), healthcare, education (UT Austin), and a thriving startup scene. The region added jobs at a 22% clip while tech employment expanded by 31%. The unemployment rate sits around 3.4%.
The culture is different. Austin has always been weird (we literally have a “Keep Austin Weird” slogan). It’s more laid-back than Dallas, more eclectic than Houston, and way more casual than coastal cities. Live music venues are everywhere. The food scene is serious. Outdoor recreation is built into the lifestyle. You can paddleboard on Lady Bird Lake on Saturday morning and catch a show on Sixth Street that night.
Quality of life. People move here because they want more space, better weather (sort of — we’ll get to that), and a place where their dollar goes further than San Francisco or Manhattan. Austin’s overall cost of living is about 3% below the national average, though housing is slightly higher. That’s still a huge improvement if you’re coming from the coasts.
Cost of Living in Austin (2026)
Ok. Lets talk money. Austin is cheaper than San Francisco, New York, or LA. But it’s not cheap, and it’s gotten more expensive as more people have moved here.
Housing Costs
The median home price in Austin is around $522,000 as of early 2026. That’s down from the peak in 2022 when we hit $550K, but it’s still a big number if you’re coming from a lower-cost market.
Renting? Average rent for a 1-bedroom is $1,612. A 2-bedroom averages $2,129. That’s about 17% higher than the national average for rentals, so budget accordingly.
Property taxes in Travis County average 1.8%, and thanks to recent changes, the homestead exemption jumped from $100K to $140K (and if you’re over 65, it went from $10K to $60K). That helps, but Texas makes up for no income tax with property taxes. Just know it’s coming.
You can read more about how the homestead exemption works in my complete guide to Texas homestead exemptions and property tax protests.
Other Expenses
Groceries in Austin are about 4-5% cheaper than the national average, so you’re looking at $400-500/month per person. Utilities run around $172/month for electricity, plus another $165+ for water, gas, and internet. Summers will spike your electric bill (we’ll get to the heat in a minute).
Transportation is cheaper than you’d think. A public transit pass is $33.25/month. Gas and car costs are about 11% below the national average.
Target salary? A single person should aim for around $50,790/year to live comfortably. A family with two working adults and two kids should target a combined $116,676. Those aren’t minimum wage numbers — they’re “you can actually save money and not stress about rent” numbers.
Best Neighborhoods and Areas in Austin
Austin is big. Really big. The metro area sprawls, and where you live will define your daily experience. Here’s the breakdown:
Downtown Austin
If you want walkability, nightlife, and a short commute, downtown is your spot. You’ll pay a premium for it (1-bedroom apartments start around $2,000+), but you’re in the middle of everything: Sixth Street, the Capitol, the entertainment district, Lady Bird Lake trails.
This is for young professionals, empty nesters, or anyone who values urban living and doesn’t need a yard.
East Austin
East Austin has transformed over the past decade. It used to be the affordable side of town. Now it’s trendy, artsy, and gentrified. You’ll find great food, music venues, and a creative vibe. Housing ranges from charming older bungalows to new construction, with prices all over the map depending on how close you are to downtown.
Good for young buyers, first-time homeowners, and anyone who wants a sense of community with access to the city.
West Austin and the Hill Country (Bee Cave, Lakeway, Dripping Springs)
This is where I live. West Austin and the Hill Country suburbs — Bee Cave, Lakeway, Dripping Springs — offer more space, better schools, and a slower pace. You’re trading the urban energy for Hill Country views, bigger lots, and access to Lake Travis.
Bee Cave has upscale shopping at the Hill Country Galleria, newer homes, and some of the best schools in Texas. Lakeway is all about the lake lifestyle — waterfront homes, golf, and recreation. Dripping Springs is small-town charm with vineyards, breweries, and wide-open spaces.
These areas are ideal for families, remote workers, and anyone who wants a yard and doesn’t mind a 20-30 minute commute to downtown.
North Austin (Round Rock, Cedar Park, Pflugerville)
North Austin suburbs are more affordable and family-friendly. Round Rock and Cedar Park are known for good schools, parks, and community amenities. Pflugerville is even more budget-conscious with solid housing stock and easy access to major employers.
If you’re looking for space, good schools, and a lower price point, this is where to look. Just know you’re adding commute time if you work downtown.
South Austin (Zilker, Barton Hills, South Congress)
South Austin has a funky, laid-back vibe. Zilker Park is here (home of Austin City Limits Music Festival), along with Barton Springs Pool and the South Congress shopping district. The area feels more like old Austin — quirky, green, and less corporate.
Housing is pricier because of the proximity to downtown and the desirability of the neighborhoods. But if you want Austin culture without living in a high-rise, South Austin delivers.
Austin Job Market and Major Employers
So you’re moving to Austin. Do you have a job lined up? If not, here’s what the market looks like:
Tech Dominates
Apple’s billion-dollar North Austin campus is one of its largest hubs outside Cupertino. They focus on hardware engineering, software development, and AI. Google’s expanding operations support cloud infrastructure and advertising tech. Tesla’s Giga Texas factory employs around 20,000 people in far east Austin. Oracle, Meta, Dell — they’re all here.
The tech sector isn’t just software engineers. There are roles in marketing, operations, sales, data analytics, cloud computing, and project management. If you’re in tech, Austin has work.
Semiconductors
Central Texas employs around 60,000 people in the semiconductor industry. Samsung’s $17 billion investment is a big deal. NXP Semiconductors and Infineon also have major facilities here. This is long-term, high-paying work that doesn’t require a CS degree.
Other Industries
Healthcare is huge (UT Health, St. David’s HealthCare, Ascension Seton). Education centers around UT Austin. Austin also has a thriving startup scene, real estate development, and a growing film and media production industry.
Bottom line: if you’re willing to work and you have marketable skills, Austin’s job market is strong.
Schools and Education
If you have kids, school districts matter. Here are the top three in the Austin area:
Eanes ISD (Westlake)
Eanes ISD was recently ranked the tenth-best public school district in the nation and the best in Texas. Westlake High School is one of the top-performing schools in the state, with a 14:1 student-teacher ratio and a track record of sending kids to elite universities.
If you can afford to live in Westlake, the schools are exceptional. But you’ll pay for it in home prices and property taxes.
Lake Travis ISD (Bee Cave, Lakeway, Spicewood)
Lake Travis ISD serves Bee Cave, Lakeway, and Spicewood. The district is committed to college and career readiness, with strong STEM programs and competitive athletics. My daughter goes to Lake Travis High School, and the quality of education is excellent.
This district offers a great balance: top-tier schools without the Westlake price tag.
Dripping Springs ISD
Dripping Springs ISD combines small-town charm with big-school opportunity. The district has newer campuses, small class sizes, and a heavy focus on STEM. STAAR scores consistently hit 91 or higher.
If you want a tight-knit community feel with strong academics, Dripping Springs delivers.
Austin ISD
Austin ISD is the largest district in the area, serving the urban core. It’s more variable in quality — some schools are excellent, others struggle. AISD emphasizes equity, inclusivity, and social-emotional learning. If you’re looking at AISD, research specific schools and campuses rather than assuming district-wide consistency.
Weather and Climate (Be Honest About the Heat)
Ok. Lets talk about the elephant in the room: Austin is HOT.
Summers run from June through mid-September. Expect highs in the upper 90s, with 29 days a year hitting 100°F or more. Humidity from the Gulf of Mexico can push heat indices above 110°F. If you’re coming from a temperate climate, this will be a shock.
You will need air conditioning. Your electric bill will spike in summer. You will not want to be outside between 1:00 PM and 6:00 PM in July. Plan accordingly.
But here’s the upside: winters are mild. January lows are in the low 40s, highs in the low 60s. We get maybe a handful of freezing days per year. You can golf in January. You can hike in February. No snow. No ice (usually).
Austin gets about 35.5 inches of rain per year, with the wettest months being May, October, and June. Spring and fall are beautiful — 70s and 80s, low humidity, perfect weather. Those are the seasons you’ll remember.
Things to Do in Austin
So you’re here. What now?
Live Music
Austin is the Live Music Capital of the World®. There are hundreds of venues — from dive bars on East Sixth to concert halls downtown. South by Southwest (SXSW), Austin City Limits (ACL), and smaller festivals happen year-round. If you like live music, you picked the right city.
Outdoor Activities
Austin’s outdoor scene is legit. Lady Bird Lake is perfect for kayaking, paddleboarding, and running the trails. Barton Creek Greenbelt offers miles of hiking. Lake Travis is 20 minutes west — boating, swimming, cliff jumping. Enchanted Rock and Hamilton Pool are great day trips.
If you’re into cycling, Austin has dedicated bike lanes and trails all over the city. The fitness culture here is strong.
Food Scene
Austin takes food seriously. BBQ is king (Terry Black’s, Franklin, la Barbecue). Tex-Mex is everywhere. Food trucks are a lifestyle. The city also has a growing fine-dining scene, craft breweries, and distilleries.
If you like eating and drinking, you’ll be very happy here.
Traffic and Commute Considerations
Austin traffic is real. It’s not LA or Atlanta bad, but it’s not nothing either.
Rush hour runs 7:00-9:00 AM and 4:00-6:00 PM, Monday through Friday. During peak times, expect 25-35 minute delays depending on your route. I-35 is the main north-south corridor, and it’s a nightmare during rush hour. MoPac (Loop 1) and Highway 183 get congested too.
Best times to drive? Mid-morning (9:30 AM-3:00 PM) or outside rush hour (before 8:00 AM or after 7:00 PM). Mondays tend to be the smoothest commute day of the week.
If you’re commuting from the suburbs (Bee Cave, Lakeway, Round Rock), plan for 30-45 minutes each way during peak hours. Remote work helps. Flexible schedules help. Living close to where you work helps most.
Practical Moving Tips
So you’ve decided. You’re moving to Austin. Here’s how to make it easier:
When to Move
Avoid peak moving season (May-September) if you can. It’s hot, traffic is worse, and moving companies charge more. Schedule your move mid-month on a Tuesday, Wednesday, or Thursday to avoid heavy weekend traffic.
If you’re moving from out of state, expect to pay $4,182-$15,678 depending on distance and volume. Book 8-12 weeks ahead during peak season.
Finding a Home
Rent first if you’re not sure where you want to live long-term. Spend six months exploring neighborhoods before you buy. Austin is big, and the neighborhood you think you want might not be the one that fits your actual lifestyle.
If you’re ready to buy, reach out. I’ll walk you through what’s available in your price range and help you navigate the Austin market.
Also worth reading: my article on whether 2026 is a good time to buy in Austin. Spoiler: it might be better than you think.
Setting Up Utilities
Set up utilities before you move in. Austin Energy handles electricity. Austin Water covers water, wastewater, trash, and recycling. Texas Gas Service covers natural gas. Internet options include Spectrum, AT&T Fiber, and Google Fiber.
Have your new address, move-in date, and a photo ID ready when setting up accounts. You can usually do this online 1-2 weeks before your move.
Get Your Texas Driver’s License
You have 90 days after establishing residency to get a Texas driver’s license. You’ll need proof of identity, proof of residency (lease or utility bill), and proof of vehicle insurance if you’re registering a car.
Texas also requires a vehicle inspection within 90 days of registration. Budget for that.
Understand Texas Property Taxes
Property taxes in Texas are high because there’s no state income tax. File for your homestead exemption as soon as you close on a home — it saves you money immediately. And if you think your home is overvalued, protest it. The deadline is May 15 each year.
I wrote a detailed guide on how to protest your property taxes if you want the full walkthrough.
Frequently Asked Questions
Final Thoughts
Moving to Austin in 2026 is a big decision. The city has changed a lot in the past decade — more people, more traffic, higher costs. But it’s still one of the best places to live in the country if you value job opportunities, culture, outdoor lifestyle, and a tax-friendly state.
Do your research. Visit multiple neighborhoods. Understand the costs. Be realistic about the summer heat and the commute times. But if Austin fits your priorities, it’s worth it.
I’ve lived here for 16 years, and I’m not going anywhere. There’s a reason people keep moving here.
If you’re ready to make the move, let’s talk. I’ll help you find the right neighborhood, the right home, and make the transition as smooth as possible.
