More new building permits issued in 2012
Housing starts in Georgetown grew by nearly 30 percent in 2012 compared with 2011, according to city building permit data. That trend is expected to continue throughout 2013 as new developments and older subdivisions continue to build new homes, Georgetown Housing Coordinator Jennifer Bills said.
"There have been a lot of discussions about ongoing development," Bills said. "I would imagine [2013 will be better than 2012] because of the way the economy is going."
The 2013 Housing Forecast presented by Metrostudy in January also showed the Austin-area market is continuing to recover from the recession and home sales have been increasing, as mortgage rates remain low.
Metrostudy provides data on the housing market for 40 markets in the United States.
In 2012, Austin-area housing starts were up 30 percent from 2011, with data showing 7,981 new single-family home starts for the region, according to Metrostudy. Housing starts measure the number of new residential construction projects that have begun during a given period of time.
"We're seeing a definite shift [in the market]," said Vaike O'Grady, marketing director for Newland Communities in Teravista, a master planned community in Round Rock. "The amount of inventory that's on the ground and available for people to purchase is at a low that we haven't seen in years."
As new developments in the city's extraterritorial jurisdiction, or ETJ, including Water Oak at San Gabriel, begin construction and existing communities break ground on new phases, city leaders expect more to follow suit.
"Based on the interest of potential developers, there is every reason to expect housing in Georgetown and our ETJ to increase," Georgetown Mayor George Garver said.
Other neighborhoods in Georgetown, including La Conterra, could also be expanded, and construction on model homes from KB Home in Creekside at Georgetown Village, the community's new neighborhood, is expected to begin in mid-March.
"We believe that with continued low interest rates, rising rental costs, strong Austin-area job growth and the expectation that home prices will continue to increase, buyers are feeling the urgency to buy now," said Cathy Teague, a KB Home spokeswoman, adding that the company has seen an increase in interest in the neighborhoods where they are building, which include La Conterra and Georgetown Village.
Population boom
O'Grady said the demand for new housing is part of the reason developers have begun breaking ground on new homes.
"The demand is there," she said. "People are moving to Austin, and they want new homes."
Garver said Georgetown's population was growing by about 2,000 people per year.
"Some data shows that Williamson County is the fastest-growing county in the nation," he said, adding that the New Orleans area has greater population growth, but that has been attributed to people moving back to the city, not new growth. "Based on current trends, [Georgetown's] population could increase by larger numbers."
According to the state demographer, Williamson County is expected to reach an estimated population of 1.4 million by 2040.
Garver said he estimates if the population does grow as predicted, the City of Georgetown could have a population between 200,000 and 250,000 by 2040.
"If theses numbers have any validity—let's suppose it's only 180,000—we still have the same infrastructure issues," he said.
Garver said the city has many attractive features that help bring new residents to Georgetown, including quality-of-life factors, such as parks and trails, economic development, and the Square.
New housing types
Along with the expected population growth, O'Grady said interest in new homes has grown as builders begin offering more energy-efficient housing and new designs.
"During the recession, the builders kind of stopped developing new plans, and now things are coming back," she said. "We're seeing a lot of new innovative designs coming out, and that's prompting interest in new homes."
Developer Galo Properties is laying the groundwork for the 1,354- acre Water Oak at San Gabriel housing development that is expected to include 3,000 environmentally friendly homes once completed.
The conservation-minded development between Leander Road and Hwy. 29 could include some Leadership in Energy and Environmental Design, or LEED, certified homes, as well as other energy-efficient designs, said Kelly Hurta, a project manager for the development.
The project's construction had been delayed because of the economy, Hurta said but planning has been under way for more than five years.
"We're hoping to have the first model homes done by the end of April, but even before then, the lots will be done," she said of the neighborhood's first phase on the north side of the development.
Known as The Heights, the neighborhood is expected to feature 79 lots from Scott Felder Homes, Wilshire Homes and Grand Haven Homes.
The second phase, which would include 56 lots, could also start construction in the next few months, Hurta said.
Construction on 175 lots in Phase 3, located on the south side of the development off Leander Road, could begin construction later this year, she said.
Teravista comes to town
Teravista broke ground in 2012 on infrastructure for a new section of the community that could include up to 1,000 new homes north of Westinghouse Road in Georgetown's ETJ, O'Grady said.
"We've only got one section in Round Rock still to be constructed. The Round Rock [portion of the development] is really wrapping up, and everything new in Teravista after 2014 will be in the Georgetown ETJ," she said. "We're really excited to be in Georgetown. It's nice to have the downtown less than 5 miles from Teravista."
The new sections in Georgetown are planned to include a model home village and The Club at Wildflower Park, which is to include a recreation center, crushed-granite trails, a pond, an outdoor amphitheater, a covered pavilion and pool complex. A grand opening could be held in early fall, O'Grady said.
The area could include three or four neighborhoods, she said.
