Is Bastrop, Texas a Good Real Estate Investment?

Why are investors suddenly paying attention to Bastrop?

Not too long ago, Bastrop was a quiet, scenic town where people went to slow down. But that’s changing—and fast. Investors are looking east of Austin, and Bastrop is right in the middle of it all. With rising home prices in Travis and Williamson Counties, buyers and developers are searching for the next big opportunity. Bastrop has the land, the location, and now, the momentum.

What does Elon Musk have to do with Bastrop?

A lot, actually. When Elon Musk moved into Central Texas, he didn’t just bring attention—he brought jobs, innovation, and serious long-term growth potential. Just a few miles outside Bastrop is the massive Tesla Gigafactory, which is cranking out Model Ys and Cybertrucks. But that’s not all.

The Boring Company (yes, Elon’s tunnel-digging startup) has its headquarters tucked right in Bastrop County. They’re building infrastructure for a new way to move people—and doing it from right here. And then there’s SpaceX, also active in the area. And of course, Twitter/X is now technically headquartered in Texas too.

When someone like Elon invests this heavily in a region, smart money tends to follow.

Is growth really moving east?

Absolutely. If you’ve lived in Central Texas for a while, you’ve probably seen it firsthand. First, everything exploded north—Round Rock, Pflugerville, Georgetown. Then it moved south—Buda, Kyle, San Marcos. Now it’s heading east.

Why? Because Austin can’t grow west (hills and protected land) and it’s running out of space in every other direction. Bastrop is one of the few areas left with large parcels of buildable land, and people are catching on.

How is Bastrop handling all this growth?

Bastrop’s not just sitting back while developers come in. The city has a long-term growth plan, infrastructure investments, and a pro-development attitude—as long as it’s done right. Roads are being expanded. New schools are being built. Fiber internet is being laid down.

Large master-planned communities are popping up with new homes, parks, and amenities. Lakeside Estates, Colony Riverside, and Double Eagle Ranch are just a few examples of well-planned growth already underway. Bastrop is welcoming new residents while working to keep its small-town charm intact.

What about Alton Butler’s film studio?

Alton Butler, a major player in the Hollywood production scene, is building a high-tech movie studio campus in Bastrop. Think studios, sound stages, post-production, and housing for cast and crew—all in one place. It’s one of the biggest film infrastructure investments Texas has ever seen.

This brings in new jobs, creative professionals, and more national attention to the area. When film crews move in—even temporarily—it creates spikes in housing demand, boosts the local economy, and puts Bastrop on the map in a whole new way.

Is Bastrop still affordable?

Compared to Austin, 100% yes. You can still get land here without competing with a dozen hedge funds. Homes under $400K are still possible. And for investors, that means higher potential returns, especially for rentals, fix-and-flips, or short-term vacation properties near the Colorado River or Bastrop State Park.

While prices have climbed in recent years, they’re still well below what you’ll find 30 minutes west in Austin. That gap is narrowing, though—fast.

Is there room to build?

Yes—and that’s one of Bastrop’s biggest advantages. Unlike many areas closer to Austin where land is already spoken for or limited by terrain, Bastrop has space. Acreage is still available. Developers have options here—whether it's a single infill lot, a 10-acre ranchette, or a multi-phase neighborhood.

This also opens the door for build-to-rent communities, tiny home villages, barndominiums, and custom builds that just aren’t possible in more built-out suburbs.

What kinds of rental opportunities exist?

Both long-term and short-term rentals are heating up. With Tesla and other employers bringing in transplants from out of state, there's steady demand for homes to rent. On the short-term side, Bastrop’s tourism scene is growing thanks to outdoor adventure, the historic downtown, the river, and nearby events in Austin.

Properties near the river or tucked into the pines can make for excellent Airbnb or VRBO options—especially on weekends or during festivals. Investors are starting to see Bastrop as a hybrid opportunity: stable long-term rental income with potential for appreciation.

What about commercial real estate in Bastrop?

As the population grows, so does demand for services. More people means more restaurants, retail, storage, offices, and medical facilities. Investors who get in early can benefit from the upswing in traffic and need for everyday businesses.

Small strip centers, coworking spaces, and commercial land along Highway 71 are becoming attractive options. The area between the airport and Bastrop is especially hot.

Is Bastrop business-friendly?

Yes. Bastrop has worked hard to be welcoming to business. Permitting is often faster than in Austin, taxes are lower, and there’s less red tape. Whether you’re opening a coffee shop or building 100 homes, the city and county tend to be easier to work with than larger municipalities.

They also want to attract innovation and investment. Between Bastrop EDC (Economic Development Corporation) and local partnerships, there’s support for both big vision projects and smaller startups.

What makes Bastrop unique compared to other Austin suburbs?

Unlike some suburbs that feel like cookie-cutter developments, Bastrop has its own personality. It’s got history, charm, and a connection to nature. People don’t just live here—they fall in love with it. Investors who understand that are the ones who win big.

Think: pine trees, rolling hills, historic Main Street, farmers markets, and river tubing on the weekend. It’s not just a place to live—it’s a lifestyle. And more and more people are looking for exactly that.

Are there signs that Bastrop is about to explode?

The writing’s on the wall. Let’s recap:

• Tesla is nearby and expanding

• Boring Company is headquartered here

• Alton Butler’s movie studio is under construction

• Developers are buying land east of SH-130

• New neighborhoods are going up left and right

• Bastrop is being featured in national media as a "next big thing"

• Infrastructure is catching up to demand

When all these trends line up in a market that’s still relatively affordable, that’s the sweet spot investors look for.

What kind of appreciation are we seeing?

Bastrop home values have been trending upward for years, but the real jump started in 2020. As of 2025, appreciation has been strong but not overinflated. That’s a good thing—it means the growth is sustainable.

Homes that were selling in the $250K range a few years ago are now comfortably in the mid-$300s or higher, and well-located lots have doubled in value in some cases. The rental market is keeping pace too, which helps support healthy cash flow for investors.

Is Bastrop still a hidden gem?

It’s not a secret anymore, but it’s not fully discovered either. Think of Bastrop like Dripping Springs 10 years ago. There’s still time to get in before the masses. Locals know how special this place is—but it’s just starting to hit investors’ radar nationally.

If you’re looking for a place with:

• Room to grow

• Natural beauty

• Big-name backing

• Strong infrastructure

• Proximity to Austin

• And a friendly community vibe

Bastrop is worth a serious look.

Should I buy land in Bastrop now?

If you’re thinking long-term, absolutely. Land here is still relatively affordable, but prices are rising steadily. Whether you plan to build, flip, develop, or just hold—it’s a solid play.

Zoning and subdivision laws are more favorable than in most of Austin, and there are still tracts that haven’t been scooped up yet. Just be sure to do your due diligence on floodplains, utilities, and future road plans.

What’s the takeaway?

Bastrop is no longer just a cute town by the river. It’s a fast-growing, strategically located area that’s catching the attention of major employers, developers, and smart investors. From Elon Musk’s companies to creative industries like film, Bastrop is transforming.

And the best part? It’s still early. If you’re looking for the next big investment opportunity near Austin, this might just be it.