- Counties
- Travis, Williamson, Hays, Bastrop, Caldwell
- County seats
- Austin, Georgetown, San Marcos, Bastrop, Lockhart
- Metro population
- About 2.5 million
What Austin-area notes look like
Austin has grown faster, in percentage terms, than any other large Texas metro, and the private notes written here reflect where that growth landed. Inside Travis County you see owner-financed sales of older homes and infill lots. North and south of the city, builders and land developers in Round Rock, Georgetown, Leander, Cedar Park, Kyle, Buda and San Marcos carry paper on new lots and starter homes. East and southeast, in Bastrop and Caldwell counties, the typical note is secured by a few acres of rural land, often with a manufactured home or a house the buyer is building.
Each of those segments brings different servicing work. Subdivision paper usually comes in batches with similar terms. Acreage notes tend to be one-off deals with longer amortizations and a higher chance that the tract carries an agricultural valuation.
Appraisal increases and escrow shortages
The single biggest local issue for escrowed loans is how quickly assessed values have moved. The Travis Central Appraisal District reappraised aggressively through the run-up in prices, and Williamson and Hays followed a similar path. Effective tax rates in Travis County generally land between about 1.8 and 2.4 percent of market value, with newer master-planned neighborhoods in Williamson and Hays often higher because of MUD levies layered on top of city, county and school taxes.
When a value jumps, the escrow account set up at closing falls behind. The federal escrow rule in Reg X, 12 C.F.R. §1024.17, calls for an annual analysis. We run it once the new bills are out in the fall and send the borrower a written statement. If there is a shortage, the borrower can pay it in one lump sum or spread it across the next twelve monthly payments.
Rural tracts in Bastrop and Caldwell move the other way. Land that qualifies for open-space (1-d-1) agricultural valuation is taxed on productivity value, which can be a small fraction of market value.
Where each county holds its trustee sales
Texas non-judicial foreclosure sales take place on the first Tuesday of the month in the county where the property sits, at a spot the commissioners court designates. For the Austin metro that means the Travis County courts complex downtown, the Williamson County Justice Center in Georgetown, the Hays County courthouse in San Marcos, and the county courthouses in Bastrop and Lockhart. The notice of sale names the exact location for any given sale. This is background on Texas law, not a description of a service we sell. The foreclosure calendar tool shows the sale date for any month.
Default and foreclosure support is available as a separate service on request. Ask us for a quote.
Questions from Austin-area note holders
My property is in Williamson County, not Travis. Does that change how the note is serviced?
Not in any meaningful way. Payment posting, statements and year-end reporting are identical. The differences are local: a different appraisal district, a different tax office, and often a MUD or PID bill to add to the escrow.
What happens to escrow when Travis CAD raises the value a lot in one year?
The annual analysis picks it up. If the account is short, the borrower gets a written notice showing the new tax amount and a choice between paying the shortage at once or over twelve months. The monthly payment is reset so the account stays funded going forward.
Can you service a note on acreage in Bastrop or Caldwell County?
Yes. Rural tracts are routine. If the land carries an agricultural or wildlife valuation, we escrow against the actual bill based on that valuation rather than an estimate built on market value.
This page is general information about servicing private mortgage notes in the Austin area and is not legal advice. Tax and foreclosure rules depend on the loan documents, the county and current law, so talk to a Texas real estate attorney about any specific deal. Riverstone Note Servicing, LLC is a Texas-licensed mortgage servicer located at 1602 N Interstate 35, San Antonio, TX 78208, and services notes statewide.
