It is not a coincidence to see two recent articles about effects of growth in Texas communities as this part of the country – and the Sun Belt more broadly – is growing fast. One is the story of a big city where housing is in high demand while the second is a small town that is now a booming suburb.

First, thousands of Austin properties are going for far above list price:
Nearly 2,700 homes in the Texas capital have sold this year for $100,000 or more above their initial listing price, according to an analysis by Redfin Corp. that examined sales through Aug. 11. While a few other U.S. cities have had more properties sell at that premium to the asking price, none have experienced as big a percent rise in homes transacting at that lofty an increase, Redfin said…
The number of homes sold year-over-year for at least $100,000 over asking price has grown nearly 10-fold in Seattle, and fivefold in Oakland, according to Redfin. In Austin, that figure grew by 57 times the number for last year at this time.
The jump in these sales at six figures above the listed price shows how Austin, which has attracted young professionals for years, has become an even more competitive place to buy in recent months.
Second, the community of New Braunfels between San Antonio and Austin is going through growing pains:
Today, the cattle are gone, replaced with clusters of sleek apartments, gated communities and big-box stores. And New Braunfels, the third-fastest-growing city in America, tucked in one of the fastest-growing regions, finds itself at a crossroads…
A once quaint town known for its German roots and the Schlitterbahn water park, New Braunfels grew a whopping 56 percent over the last decade, adding about 32,500 residents…
Newer residents to New Braunfels have been drawn to the region for its affordable cost of living and by larger employers who have settled there, including several distribution centers and technology companies. Over the past decade, the median salary has jumped to $90,000 from $65,000 in Comal County, which includes much of New Braunfels, one of the highest averages in the state…
The community has also grown more noticeably diverse, with the presence of Latinos particularly evident on the city’s West Side. Residents flock to eateries like El Norteño for typical Mexican dishes, such as menudo, a spicy stew known colloquially as a hangover remedy. This week, a server took orders wearing a red T-shirt that read “Menudo Para La Cruda” or “Menudo For the Hangover.”
The emphasis on growth is a long-term pattern. When Census data is released, many like to highlight the fastest growing areas of the country. This can shine a spotlight on places that are changing but it also reinforces a consistent American narrative: growth is good for communities. Indeed, discussion of the opposite trend – losing population (or somehow not losing residents) – reinforces the notion that growth is good.
At the same time, focusing on population numbers is worth considering alongside what is happening to the character of communities with population growth or loss. These two articles highlight both phenomena. In Austin, what happens to a local housing market when so much competition drives up prices? At the least, this means some are priced out of the adjusted values, existing community members may see their property values rise, and builders, developers, and local officials respond to the changes. And the rising prices are often interpreted as a sign that Austin is a desirable place to live.
In New Braunfels, this is both a common American story – small town outside big city turns into a sprawling community in a relatively short time – and a story with particular traits as the community has a particular character. The German roots of the community now sit among a more diverse population. A quaint town is now much bigger and there is a lot of building activity. The businesses there for a long time are now joined by new ventures.
Even as population growth is usually viewed as a good thing, it comes with costs and changes. Few communities would reject growth just to avoid change but there can tension over how to respond to growth. Many cities and suburbs have struggled to match their existing character to changes and what the community will end up being once a construction boom and/or sprawling subdivision growth subsides.
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