The following article is Sponsored by Limestone Moving Co.
When it comes to relocating within Texas, two major cities often top the list: Austin and Dallas. Both offer unique cultural appeal, job markets, and housing options. But from a financial standpoint, which city gives you more value for your real estate dollar in 2026? This data-driven comparison explores the latest metrics on square footage, property taxes, and housing inventory to answer that question.
Square Footage: More Home for Your Money?
A major consideration in the Austin vs. Dallas real estate 2026 debate is the cost per square foot. According to regional MLS data from Q1 2026:
- Austin: Median home price per square foot is $355
- Dallas: Median home price per square foot is $295
That means for a $500,000 budget, buyers in Dallas can expect approximately 1,695 square feet, while in Austin, the same amount fetches just around 1,408 square feet. This square-footage comparison of Austin and Dallas homes shows Dallas as the better choice for buyers seeking more space.
Property Taxes: Not All Rates Are Equal
Texas is known for higher property taxes, but the actual rates and how they affect homeowners can vary by metro area. In 2026, the average combined effective property tax rates are:
- Austin (Travis County): 2.02%
- Dallas (Dallas County): 2.31%
So, while Dallas may offer more square footage, homeowners will generally pay higher taxes. For example, on a $500,000 home, annual taxes would be around $11,550 in Dallas compared to $10,100 in Austin—a marginal difference but worth considering. These 2026 Austin vs. Dallas property tax figures could affect long-term affordability, especially for first-time buyers.
Housing Inventory and Availability
Another crucial factor in determining the affordability and feasibility of buying a home is the housing inventory in Austin vs. Dallas. As of mid-2026, recent data shows:
- Austin: Approximately 2.1 months of housing supply
- Dallas: Approximately 3.3 months of housing supply
Dallas currently offers a more balanced market, giving buyers greater negotiating power and less competition. Austin’s lower inventory suggests a more competitive, seller-friendly environment, contributing to higher prices and fewer discounts.
Lifestyle and Cost of Living Considerations
Beyond real estate metrics, the cost of living in Austin vs. Dallas also varies across utilities, transportation, and groceries. According to Numbeo’s 2026 cost of living index:
- Austin: The Total cost of living is approximately 9% higher than in Dallas
- Dallas: More affordable in multiple categories, including housing and transportation
Those prioritizing budget and space may find Dallas a better fit, while others drawn to Austin’s tech-driven economy and culture may view the added costs as worthwhile.
Final Thoughts: Which City Wins?
Deciding between Austin and Dallas in 2026 ultimately comes down to personal priorities. If maximizing your square footage and having a wider selection of homes is key, Dallas has the edge. However, if you’re focused on slightly lower property taxes and a robust, innovation-driven job market, Austin still holds strong appeal.
And if you’re considering a relocation, reliable services can make the transition easier. For those making the switch, check out experienced Austin to Dallas Movers to help you settle in smoothly…