Investment Property Loans in Round Rock, TX

Round Rock taxes short-term rentals at 9% of monthly net receipts, a 7% hotel occupancy tax plus a 2% venue tax, with a return due monthly even when nothing was rented.

For investors: Price Round Rock nights with the city's 9% and the state hotel tax both in mind. A vacant month still needs a zero return by the last day of the following month, a filing that is easy to forget between busy seasons.

Source: City of Round Rock, Hotel Occupancy and Venue Tax FAQ (Nov 2025), Nov 2025

Round Rock requires a separate city permit for each short-term rental unit, $35 for the first year and $25 for each annual renewal, which is due by January 1.

For investors: The permit application must name a local contact reachable around the clock who can respond in person within one hour, so an out-of-area owner needs a nearby manager. Three Round Rock rentals mean three permits and $75 a year in renewals.

Source: Round Rock Code of Ordinances, Ch. 38, Art. IV, Secs. 38-88 to 38-90; City of Round Rock HOT FAQ (Nov 2025), Oct 2026

Round Rock says Airbnb and Vrbo do not remit its hotel or venue tax, so hosts pay the city directly; late tax draws 5% to 15% penalties and 10% interest after 60 days.

For investors: Whatever a listing platform shows the guest, the city's 9% remains the Round Rock owner's own filing. Penalties step up at 30 and 60 days late, so one forgotten month quietly erodes the margin on a property that runs close to its DSCR target.

Source: City of Round Rock, Hotel Occupancy and Venue Tax FAQ (Nov 2025), Nov 2025

Under a September 2025 ordinance, a new Round Rock short-term rental must hold a city permit before its first guest, and each day operating without one can be cited as a separate Class C offense.

For investors: Buyers converting a Round Rock house to nightly use should finish the permit before the listing goes live. Operators already paying the city hotel tax on October 1, 2025 were permitted automatically, while others had 60 days, so ask any seller for the permit record.

Source: Round Rock Code of Ordinances, Ch. 38, Art. IV (Hotel Occupancy Tax), Sec. 38-91, Oct 2026

Round Rock gives a 1% administrative discount on its 7% hotel tax when taxable receipts are under $25,000 and paid on time, and charges a 3% convenience fee on card payments.

For investors: Paying Round Rock by e-check costs a flat $1 per transaction instead of 3% by card, a small saving that repeats every month across a portfolio. Filing late forfeits the 1% discount as well as triggering the penalty schedule.

Source: City of Round Rock, Hotel Occupancy and Venue Tax FAQ (Nov 2025), Nov 2025

Round Rock set a maximum proposed city rate of 42.3 cents per $100 for fiscal 2027, 3.8 cents above the 38.5-cent no-new-revenue rate, after adopting 37.2 cents for fiscal 2026.

For investors: The rate adopted at the September 10, 2026 vote could not exceed 42.3 cents, so that ceiling is a safe underwriting figure for a Round Rock rental. It sits about five cents above fiscal 2026, roughly $255 more a year on a $500,000 taxable value.

Source: City of Round Rock Budget Office, FY 2027 Proposed Tax Rate, Oct 2026

Round Rock dedicates a half-cent of its 2% local sales tax to property tax relief, which the city says cuts its fiscal 2027 property tax rate by 12.7 cents.

For investors: Shoppers effectively subsidize Round Rock property owners. The city also reports that business properties are only 8% of parcels yet produce 52% of city property tax revenue, which keeps the residential share of the levy lower than the headline rate suggests.

Source: City of Round Rock News, City Council sets maximum tax rate for FY 27 budget, Aug 2026

For tax year 2025 Williamson County's total rate was $0.413776 per $100, including a 4.4-cent farm-to-market and flood control levy, while Round Rock's Travis County side paid $0.375845.

For investors: Round Rock spans two counties and two appraisal districts, so a duplex on the Travis side carries a different county line and possibly a different school district than one a few miles north. Pull the taxing units for each parcel before setting a rent target.

Source: Texas Comptroller, 2025 City and County Rates and Levies, Jan 2026

Round Rock says that under NOAA Atlas 14 rainfall data, today's FEMA 500-year floodplain is a better estimate of the true 100-year floodplain, and urges owners there to consider flood insurance.

For investors: A Round Rock rental just outside the mapped 100-year zone may escape a mandatory policy yet sit inside what the city calls realistic 100-year risk. Quote a preferred-rate policy for those addresses before closing; the city describes such premiums as generally reasonable.

Source: City of Round Rock Stormwater, Floodplain, Oct 2026

Round Rock's Williamson County flood maps took effect December 20, 2019, built on Upper Brushy Creek watershed modeling, and the city foresees no comprehensive map update within the next 10 years.

For investors: Stable maps mean a zone determination made at purchase should hold through a typical Round Rock hold period. The flip side is that official maps will not catch up with Atlas 14 soon, so the lender's flood requirement can understate real risk near creeks.

Source: City of Round Rock Stormwater, Floodplain, Oct 2026

Round Rock's residential use table allows an accessory dwelling unit only as a connected unit in the SF-3 district; in the C-2 and OF-1 districts an ADU must house the owner or manager.

For investors: A backyard cottage is not a by-right add-on for a typical Round Rock single-family rental, so do not count a second rent stream in the purchase math. Check whether the lot is zoned SF-3 before pricing a connected unit into the deal.

Source: Round Rock Code of Ordinances, Part III (Zoning and Development Code), Secs. 2-25 and 2-91, Oct 2026

Dell Technologies has kept its headquarters in Round Rock since 1993, growing to 12,000 local employees by 2023, and in 2024 extended its economic development agreement with the city to at least 2100.

For investors: An employer that size anchors steady rental demand from engineers, contractors and support staff across Round Rock. It is also a concentration risk worth naming in underwriting, though an agreement running to 2100 signals a long commitment to the local campus.

Source: City of Round Rock, The City of Choice (history banner), May 2025