The City of Round Rock projects a staggering 60% population growth over a 20-year span, estimating nearly 75,000 new residents will join the city limits by 2040. This blog post explores what this historic growth means for the local housing market, infrastructure, and the city’s overall economy.

Round Rock, Texas, is undergoing an incredible transformation. Long gone are the days when the region served as a sleepy “bedroom community” for Austin commuters. Today, it is a bustling employment and economic hub in its own right.

According to the City of Round Rock, the official population has climbed to 142,601 within city limits as of 2026. Looking to the future, the Planning and Development Services Department’s 20-year projection indicates that the city will reach a population of 194,151 by 2040—a 60% increase from its 2020 base. When including the Greater Round Rock area, which factors in extra-territorial jurisdictions, the population is slated to reach 266,051.

What is Driving the Boom?

Round Rock’s explosive growth isn’t happening by accident. The city consistently lands on national rankings—such as being named a top place to live by Livability—due to a unique mix of affordability, high-performing schools, and a surging local economy.

Key growth drivers include:

The “Millennial Magnet”: The area is a major draw for millennials and families looking to stretch their dollars. The median single-family home price in Round Rock is more attainable than in core Austin, offering more square footage and a lower cost of living for roughly the same income.
Corporate Expansion: Home to global tech leaders like Dell Technologies, the city is also adding massive mixed-use developments like District 525. The city’s GDP has seen explosive growth in recent years, making it a hotspot for both business and earnings growth.

Preparing for a City of Nearly 200,000

Managing a 60% influx requires meticulous planning and a proactive approach to infrastructure. The city’s award-winning Round Rock 2030 comprehensive plan serves as the official framework guiding future land use, zoning, and development.

To prepare for the future, the City is taking massive strides:

Infrastructure Upgrades: Round Rock has $200 million in roadway construction currently underway. Key projects like the extensions of Wyoming Springs Drive and the widening of Gattis School Lane are designed to keep the city moving as the population swells.
Water & Wastewater Investments: The city has secured water capacity for the coming decades through projects like the Brushy Creek Regional Utility Authority (BCRUA) and extensive local water reuse infrastructure.
Housing Diversity: To ensure housing keeps up with demand, city planners are emphasizing high-density and mixed-use walkable spaces—especially in the revitalized downtown area.

The Future is Bright

For current residents and investors, this projected 60% growth underscores a vibrant, continuously improving city. While a rapidly expanding population introduces typical metropolitan challenges like higher demand for housing, Round Rock’s proactive, long-range planning ensures it remains a safe, stable, and highly desirable place to live in Central Texas.

For the latest population estimates, development studies, and long-range planning documents, you can visit the official Demographic and Census Information page provided by the City.

The ROCK Group Realtors® is an experienced and trusted Round Rock & Central Texas Real Estate brokerage. For more than 20 years, we have assisted clients across Central Texas, providing thoughtful and professional service that sets us apart. If you’re looking for experienced real estate agents in Round Rock, TX and surrounding areas, call the ROCK Group @ 512-850-4510.