New Braunfels Is Adding Nearly 700 Housing Units — Here's What It Means for Renters and Buyers in the Region

If you have been watching rents climb along the I-35 corridor between San Antonio and Austin, there is some meaningful news worth paying attention to. The New Braunfels Housing Authority has three housing developments in various stages of planning, collectively expected to bring roughly 700 units to the market. Construction on all three projects is anticipated to begin sometime in the 2026-2027 window.

Here is what each project involves. Villa Serena would reposition 35 existing units and add approximately 360 more through HUD's Rental Assistance Demonstration program, commonly known as RAD. The RAD program allows public housing authorities to convert their properties to a more stable funding model, which generally means the buildings get renovated or rebuilt to a higher standard while still serving income-qualified residents. Lyndon Ranch would bring 303 mixed-income units to 13 acres at 1801 Loop 337 in New Braunfels. Mixed-income development is significant because it places market-rate renters alongside income-restricted residents in the same community, which tends to produce better-maintained properties and more diverse neighborhoods. Park at Dogwood would add 75 low-income units, rounding out a pipeline that touches affordable, mixed-income, and workforce housing at the same time.

For renters, this is the most directly relevant news. New Braunfels has grown quickly over the past several years, and that growth has put pressure on rental prices throughout Comal County and into neighboring Bexar County. When rental supply is tight in one city, it ripples outward. People who cannot find affordable options in New Braunfels look toward Schertz, Cibolo, Converse, and even the Northeast San Antonio ZIP codes like 78154 and 78259. Adding close to 700 units to New Braunfels does not instantly solve a regional affordability challenge, but it does ease some of that outward pressure.

For current renters already living in New Braunfels or considering a move there, the practical question is timing. With construction expected to start in 2026-2027, these units will not be available overnight. Permitting, site work, and construction timelines mean most of these homes are likely a year or more away from accepting residents. If you need housing now, these projects should not be part of your near-term plan, but they are worth monitoring if you are thinking about where you want to be in 2027 or 2028.

For people thinking about buying a home, this kind of development activity tells you something useful about where local government and federal housing programs are placing their bets. Investment in housing infrastructure along the 1801 Loop 337 corridor signals that New Braunfels is planning for continued population growth. Buyers who are weighing neighborhoods in the Comal Independent School District, which serves much of New Braunfels, should understand that more housing supply over time tends to moderate price appreciation, though it rarely reverses it in a high-demand market.

For homeowners and sellers in the area, the picture is a bit more nuanced. A significant increase in rental inventory can sometimes affect the urgency buyers feel to purchase. When renting becomes more accessible, some would-be buyers choose to wait. That said, the mixed-income and workforce nature of these projects means they are targeting a renter population that largely overlaps with first-time buyer prospects rather than competing with move-up buyers or those seeking single-family homes. Sellers of entry-level homes should stay aware, but this is not a reason for alarm.

It is also worth noting what the RAD component at Villa Serena represents for existing residents. The conversion process under HUD's RAD program typically comes with tenant protections, meaning current residents generally have the right to return once renovations are complete. If you or someone you know lives in that community and has questions about what happens during construction, reaching out directly to the New Braunfels Housing Authority is the right first step.

The broader takeaway for anyone in the San Antonio metro area is that affordable and workforce housing development is active right now in communities up the I-35 corridor, and that matters for the whole region. San Antonio itself has its own ongoing housing conversations, but what happens in New Braunfels, Schertz, Kyle, and other growing cities directly affects where people choose to live and what they can afford to pay.

If you are trying to decide whether to rent or buy, where to relocate, or how to time a sale, keeping an eye on regional supply changes like these gives you better information to work with. A good real estate professional can help you read these signals in the context of your specific situation and budget.