New Construction Homes Under $350K: What Buyers Should Know

If you’ve been shopping for homes under $350K, you’ve probably compared resale options—but new construction can look very different when it comes to numbers and value.

Real Monthly Savings

On a $350,000 home with 5% down, a 6% interest rate results in an all-in monthly payment of roughly $2,950 to $3,000 (depending on insurance and HOA).

Many builders are offering rate buy-downs, which can lower your effective interest rate to around 5.25%. That brings the same home’s monthly payment down to approximately $2,750 to $2,850—a noticeable savings that adds up over time.

Plenty of Options

Across Southeast Austin, Buda, and Kyle, there are currently about 240 new construction homes under $350K listed on the MLS. These homes generally feature:

• 1,600 to 1,900 square feet

• Modern layouts

• Energy-efficient systems

• Builder warranties

And that MLS number doesn’t tell the whole story—builders often have additional spec homes and quick move-ins that aren’t listed, so the real pool of opportunities is even larger.

Neighborhood Highlights

Here are some neighborhoods with new construction options under $350K:

• Southeast Austin: Cloverleaf, Turner’s Village

• Buda: Porter Country, South Grove, Prairie Lakes, Crosswinds

• Kyle: Casetta Ranch, Infinity Square, Plum Creek, Talavera, plus others

Why It Matters

For buyers, understanding builder incentives and available inventory is crucial to maximizing your budget. For current homeowners, knowing what new construction is competing with your property can help guide pricing and marketing decisions.

With interest rates and incentives shifting, now is a great time to explore new builds under $350K and see what fits your needs.