Sell Your Land Note in Hays County, Texas — Complete Guide

Hays County sits in one of the most coveted stretches of Central Texas real estate, nestled between Austin to the north and San Antonio to the south along the Interstate 35 corridor. If you hold a promissory note secured by land in Hays County, you own a financial asset backed by property in a county that has been one of the fastest-growing in the entire United States for more than a decade. The decision to sell your land note in Hays County, Texas can put significant cash in your hands today, taking advantage of a market that note buyers view with particular enthusiasm because of the county's exceptional growth trajectory and the strong demand for land at every level.

Hays County's transformation has been nothing short of remarkable. The county's population has more than doubled since 2010, driven by the southward expansion of the Austin metropolitan area, the explosive growth of cities like Kyle and Buda, the continued evolution of San Marcos from a college town into a full-fledged city, and the enduring appeal of the Hill Country communities along the western edge of the county. Texas State University in San Marcos, with an enrollment exceeding 38,000 students, provides a stable institutional anchor, while the commercial development along the Interstate 35 corridor and the opening of new master-planned communities in communities like Dripping Springs and Wimberley have added depth and diversity to the county's economic base.

Whether your note is backed by a residential lot in one of Kyle's rapidly expanding subdivisions, a Hill Country tract near Dripping Springs, a commercial parcel along the Interstate 35 frontage in San Marcos, or rural acreage in the southern reaches of the county, this guide will walk you through every aspect of selling your land note in Hays County, Texas so you can move forward with confidence and clarity.

Why Hays County Land Notes Are Highly Valued by Buyers

Hays County occupies a geographic and economic sweet spot that makes its land notes particularly attractive to experienced buyers. The county benefits from proximity to two of the largest and most economically vibrant cities in Texas, a natural landscape that includes some of the most desirable Hill Country terrain in the state, and a population growth rate that has consistently outpaced nearly every other county in the nation. These factors combine to create a market where land values are well-supported and the outlook for continued appreciation is strong.

The Austin-San Antonio Corridor Effect

Hays County sits directly in the middle of the Austin-San Antonio corridor, one of the most dynamic growth zones in the country. The two cities are gradually merging along the Interstate 35 spine, and Hays County is the primary beneficiary of this convergence. Workers employed in Austin can live in Kyle, Buda, or San Marcos and enjoy a shorter commute and significantly lower housing costs compared to Travis County. Similarly, professionals working in San Antonio's northern suburbs find Hays County communities increasingly accessible. This dual-city dynamic creates a remarkably broad demand base for land, because the county draws buyers and residents from both metropolitan areas simultaneously. For note buyers, this means the collateral behind a Hays County land note is supported by demand from two of the largest employment markets in Texas, which dramatically reduces the risk of a significant decline in property values.

Explosive Population Growth

Hays County's population growth has been staggering by any measure. The county has grown from roughly 157,000 residents in 2010 to well over 280,000 in recent years, an increase of more than 75% in just over a decade. Kyle has emerged as one of the fastest-growing cities in the entire state, with its population more than tripling during this period. Buda, immediately to the north, has experienced similar growth. San Marcos has expanded well beyond its traditional role as a college town, with new residential and commercial development extending along both sides of Interstate 35. This sustained population surge creates constant demand for land — for new housing, new schools, new retail centers, and new infrastructure — which supports property values and gives note buyers confidence that the collateral behind Hays County notes will maintain or increase its worth over time.

Hill Country Appeal and Lifestyle Value

The western portion of Hays County extends into the Texas Hill Country, one of the most sought-after landscapes in the state. Communities like Dripping Springs, Wimberley, and Woodcreek offer a Hill Country lifestyle defined by rolling terrain, mature live oaks, spring-fed rivers and creeks, and a sense of rural tranquility that is increasingly rare within easy commuting distance of a major city. The appeal of Hill Country living drives premium property values in these communities and creates a distinct sub-market within Hays County that attracts buyers willing to pay a premium for the lifestyle. Notes backed by Hill Country property in Hays County benefit from this lifestyle premium, which provides additional collateral value beyond what the basic property characteristics might suggest.

How to Sell Your Land Note in Hays County, Texas

The process of selling a land note follows a well-established path that any experienced Texas note buyer will be familiar with. Understanding each step will help you prepare effectively and move through the transaction without unnecessary delays or surprises.

Organize Your Note Documentation

Start by gathering all documents related to your note. The essential items include the original promissory note, the deed of trust recorded with the Hays County Clerk, a detailed payment history or ledger, the title insurance policy from the original closing, and any amendments or modifications to the original terms. If a servicing company has been collecting payments, request a current statement showing the outstanding balance, the last payment date, and any escrow balances. Having everything organized before you contact a buyer demonstrates professionalism and allows the evaluation process to move quickly. For a thorough checklist, review this guide on documents needed to sell a land note in Texas.

Request and Compare Cash Offers

With your documents in hand, contact one or more note buyers who specialize in Texas land notes. Share the key financial details — current balance, interest rate, monthly payment, remaining term, and payment history — along with property information including the location within Hays County, lot size or acreage, and any improvements. A reputable buyer should provide a preliminary cash offer within 24 hours. When comparing offers, look beyond the headline number and assess each buyer's track record, close rate, and whether they are purchasing with their own funds or brokering the deal to a third party. A direct buyer with a history of closing every deal they quote provides far more certainty than a broker who may not be able to deliver on their initial promise.

Due Diligence Phase

After accepting a preliminary offer, the buyer will conduct due diligence to verify everything about the note and the property. This includes a title search through the Hays County Clerk's office, verification of the borrower's payment history, and an assessment of the property's current market value using comparable sales data or a formal appraisal. Hays County's active real estate market provides robust comparable sales data, which facilitates accurate and efficient property valuations. The due diligence phase typically takes one to two weeks for a straightforward transaction. If any issues surface — such as a title defect, a recording error, or a discrepancy in the payment records — an experienced buyer will work to resolve them rather than abandoning the deal.

Closing and Receiving Your Cash

Once due diligence is complete, the closing process is straightforward. A title company will prepare the assignment of note and deed of trust, you'll sign the documents, and the buyer will wire the purchase price to your bank account. The assignment is then recorded with the Hays County Clerk to make the transfer official. From first contact to funding, the entire process typically takes two to four weeks for a clean, performing note. The availability of experienced title companies in San Marcos, Kyle, and the broader Austin area helps ensure that closings proceed on schedule.

What Determines the Value of Your Hays County Land Note

The price a buyer will offer for your note reflects a careful analysis of the note's financial terms, the borrower's reliability, and the quality of the underlying collateral. Understanding these factors will help you set realistic expectations and present your note in the most favorable light.

Interest Rate and Payment Terms

The interest rate is one of the most influential factors in note valuation because it directly determines the buyer's return on investment. A note with a rate of 9% or higher will generate attractive returns that allow the buyer to offer a higher purchase price. The payment structure also matters — standard amortizing notes are preferred because they provide predictable, declining principal balances. Notes with interest-only periods, variable rates, or balloon provisions introduce additional complexity that can widen the discount. The remaining term affects value as well — shorter terms reduce the buyer's exposure to long-term risk, while longer terms provide extended income streams but tie up capital for more years.

Borrower Payment History

The borrower's track record of making on-time payments is arguably the most direct indicator of note quality. A well-seasoned note with 24 or more months of consecutive on-time payments demonstrates that the borrower is both willing and able to meet their obligations, which significantly reduces the buyer's perceived risk. If your borrower has maintained a perfect payment record, this is one of the strongest selling points of your note and should be prominently highlighted when presenting the deal. Even borrowers with occasional late payments can still support a sellable note, though the discount will be larger than for a note with a flawless record.

Property Value and Location Within Hays County

The specific location of the property within Hays County has a meaningful impact on the buyer's assessment. A residential lot in Kyle or Buda, where the market is deep and the comparable sales data is abundant, represents different collateral than a larger tract in the more rural southern or western portions of the county. Properties in the Hill Country communities of Dripping Springs and Wimberley carry a lifestyle premium that can boost collateral values, while properties along the Interstate 35 corridor benefit from strong commercial and residential demand. The loan-to-value ratio — the remaining note balance compared to the current property value — is one of the most critical metrics in note valuation. Hays County's robust appreciation over the past decade means that many notes originated in earlier years now have very favorable LTV ratios, which directly supports better pricing for sellers. For a deeper look at how note value is calculated, see this article on what determines note value in Texas.

Water and Utility Access

In parts of Hays County, particularly the Hill Country areas to the west, water availability can be a significant factor in property valuation. The region has faced water supply challenges, and properties that rely on wells or that are in areas with limited water availability may be valued differently than properties with connections to municipal water systems. Similarly, properties with access to public sewer systems, electricity, and paved roads are generally valued more highly than raw, unimproved tracts. If your property has reliable water access and utility connections, these features strengthen the collateral and should be communicated clearly to potential note buyers.

Hays County Sub-Markets in Detail

Hays County contains several distinct sub-markets, each with its own character, price dynamics, and appeal. Understanding where your property fits within this landscape will help you anticipate how a buyer will evaluate your note.

Kyle — The Growth Epicenter

Kyle has been the headline growth story of Hays County and one of the fastest-growing cities in all of Texas. The city's population has exploded from around 28,000 in 2010 to well over 70,000, driven by the development of large master-planned communities, the affordability of housing relative to Austin, and the city's convenient location along Interstate 35. New subdivisions continue to sprout on the city's edges, and the commercial infrastructure — including retail centers, restaurants, and services — has expanded rapidly to keep pace with residential growth. Notes backed by property in Kyle benefit from the city's deep and active housing market, which provides strong comparable sales data and gives note buyers confidence that the collateral could be liquidated quickly if necessary. Kyle's growth trajectory shows no signs of slowing, making it one of the strongest sub-markets in the county for note sellers.

Buda — The Northern Gateway

Buda sits at the northern edge of Hays County, just south of the Travis County line, and has experienced growth nearly as dramatic as Kyle's. The city's proximity to Austin — many Buda residents can reach downtown Austin in under 30 minutes — combined with its small-town charm and family-friendly atmosphere has made it an extremely popular destination for homebuyers who are priced out of Travis County. Property values in Buda are generally somewhat higher than in Kyle, reflecting the slightly shorter commute to Austin and the city's more established character. Notes backed by Buda property are viewed very favorably by buyers because the market is strong, the demand is consistent, and the location at the gateway between Hays and Travis counties gives it exposure to both markets.

San Marcos — University Town and Growing City

San Marcos occupies a unique position in the Hays County landscape. The city is home to Texas State University, one of the largest and fastest-growing universities in the country, which provides a massive and stable demand base for housing and land. Beyond the university, San Marcos has developed a significant commercial and retail presence anchored by the San Marcos Premium Outlets, one of the most visited shopping destinations in Texas. The city is also attracting new industrial and logistics investment along the Interstate 35 corridor, diversifying its economic base beyond education and tourism. Notes backed by property in San Marcos benefit from the dual demand created by the university population and the growing residential and commercial sectors. Property values have appreciated steadily, and the city's position as the Hays County seat and the geographic center of the county ensures its continued relevance and growth.

Dripping Springs and Wimberley — Hill Country Premium

The western portion of Hays County, including Dripping Springs and Wimberley, offers a Hill Country lifestyle that commands premium property values. Dripping Springs has evolved from a small ranching community into one of the most desirable addresses in the Austin metro area, with new master-planned communities, award-winning wineries and breweries, and a growing commercial base along Highway 290. Wimberley, nestled in the scenic Wimberley Valley along Cypress Creek, has long been a destination for artists, retirees, and weekend visitors drawn by its natural beauty and small-town charm. Property values in both communities reflect the Hill Country premium — buyers are willing to pay more for the landscape, the lifestyle, and the relative exclusivity of these areas. Notes backed by property in Dripping Springs and Wimberley are attractive to buyers who understand the premium nature of the market, and the discounts tend to be smaller than for notes in less distinctive locations, provided the other note characteristics are favorable.

Southern Hays County — The Emerging Frontier

The southern portion of Hays County, extending toward the Guadalupe and Caldwell county lines, is less developed than the northern and central areas but is beginning to attract attention from developers and investors. Communities like Niederwald and the rural areas along the Interstate 35 corridor south of San Marcos are seeing early signs of the development wave that has already transformed Kyle and Buda. Land values in this area are lower than in the more established communities, but the growth potential is significant given the county's overall trajectory. Notes backed by property in southern Hays County may face slightly larger discounts, but the area's proximity to the I-35 corridor and its position in the path of the Austin-San Antonio growth wave give note buyers reason to be optimistic about long-term collateral values.

The Discount When Selling Your Hays County Land Note

Every note transaction involves a discount — the difference between the remaining balance and the price the buyer pays. Understanding how discounts work and what influences their size in the Hays County context will help you evaluate offers and set realistic expectations.

Typical Discount Ranges

For performing land notes in Hays County, discounts typically range from 8% to 25% of the remaining balance. Notes with premium characteristics — high interest rates, strong seasoning, low LTV ratios, and property in desirable locations like Dripping Springs, Buda, or the established parts of Kyle — tend to receive offers at the lower end of that discount range. Notes with less favorable terms, limited payment history, higher LTV ratios, or property in more rural or less established areas will face larger discounts. The specific discount on your note will depend on the unique combination of all these factors as assessed by the buyer.

Strategies for Minimizing the Discount

Several practical steps can help you reduce the discount and maximize your cash proceeds. First, ensure your documentation is complete and well-organized, as missing paperwork introduces uncertainty that widens the discount. Second, if your note is relatively new, consider waiting until it has at least 12 to 24 months of on-time payments before selling, because seasoning is one of the most impactful factors in note valuation. Third, work with a direct buyer rather than a broker to eliminate intermediary costs that reduce your net payout. Fourth, be transparent about any known issues — properties with water concerns, access limitations, or deed restrictions should be disclosed upfront rather than left for the buyer to discover during due diligence. Transparency builds trust and leads to smoother transactions with fewer price adjustments. For a detailed look at how discounts work, read this article on discounts when selling a land note in Texas.

Common Reasons to Sell a Hays County Land Note

Note holders sell for many different reasons, and understanding the most common motivations can help you evaluate whether selling is the right choice for your situation.

Taking Advantage of Strong Market Conditions

Hays County's property values have appreciated substantially over the past decade, and many note holders recognize that the current market represents a favorable time to sell. Strong property values translate into favorable loan-to-value ratios, which support better offers from buyers. While no one can predict the future with certainty, selling during a period of market strength allows you to lock in the benefit of current conditions rather than hoping that values will remain elevated throughout the remaining life of your note.

Eliminating Management Burden and Risk

Managing a promissory note requires tracking payments, maintaining records, ensuring insurance coverage, monitoring property tax payments, and being prepared to take legal action if the borrower defaults. For many note holders — particularly those who created the note as part of a one-time seller-financed transaction — the ongoing burden of management is not something they anticipated or enjoy. Selling the note eliminates all of these responsibilities in one transaction, along with the risk that the borrower will default, the property will be damaged, or market conditions will deteriorate. The simplicity and certainty of cash can be enormously appealing compared to the complexity and uncertainty of holding a note.

Funding Life Transitions and Opportunities

Whether you are retiring, relocating, paying for a child's education, investing in a business, or navigating any other major life transition, selling your Hays County land note can provide the capital you need on your timeline. Rather than waiting years for the note to pay out, you can access a lump sum immediately and deploy it according to your priorities. The proceeds from selling a note are yours to use however you see fit, and the flexibility that comes with having liquid cash can open doors that monthly payments simply cannot.

Ready to Sell Your Note?

If you're considering selling your land note in Hays County, Texas, Longhorn Note Buyers is here to provide a fast, fair, and transparent experience. We are a direct buyer — not a broker — with more than $46 million in Texas notes purchased since 2007 and a perfect 100% close rate on every deal we've committed to. Our founder, Nick McFadin, brings over 40 years of note-buying expertise to every evaluation, and our team's familiarity with the Hays County market allows us to assess your note quickly and accurately.

Whether your note is backed by a residential lot in Kyle, a Hill Country parcel near Dripping Springs, a commercial tract in San Marcos, or acreage anywhere else in the county, we have the experience and the capital to make you a competitive offer within 24 hours. There are no hidden fees, no bait-and-switch tactics, and no pressure.

Call us today at (210) 828-3573 or visit longhornnotebuyers.com to request your free, no-obligation quote. When you sell your land note in Hays County, Texas with a trusted direct buyer, you get the best combination of price, speed, and certainty the market can offer.

Frequently Asked Questions About Selling a Land Note in Hays County, Texas

How fast can I get cash for my Hays County land note?

The typical timeline from initial contact to receiving your funds is two to four weeks. You can expect a preliminary cash offer within 24 hours of submitting your note details. The due diligence phase, which includes title verification, payment history confirmation, and property valuation, generally takes one to two weeks. Closing is usually completed within a few business days once all documents are signed. Hays County's efficient records system and the availability of experienced title companies in the San Marcos and Austin areas help keep the process moving quickly.

Does the Texas State University campus affect my note's value?

Texas State University's presence in San Marcos is generally a positive factor for note valuation, particularly for properties in and around the city. The university provides a stable employment base, creates consistent demand for housing from students, faculty, and staff, and supports a local economy that is less susceptible to the cyclical downturns that can affect communities dependent on a single industry. Properties near the campus or along transit corridors that serve the university population benefit from this institutional demand. However, the direct impact on your note's value depends on the specific location and type of your property — a lot in a residential neighborhood near campus will be affected differently than a rural tract on the outskirts of the county.

Can I sell my note if the property has water access issues?

Water availability is a notable concern in parts of Hays County, particularly in the Hill Country areas where groundwater resources are limited and competition for water rights is increasing. If your property has water access challenges — whether due to well capacity, water district restrictions, or the absence of a municipal water connection — it does not make your note unsellable, but it will be a factor in the buyer's evaluation. The discount may be larger to account for the property's reduced marketability and the potential impact on value. Providing documentation about the property's water source, any water rights or permits, and the output of any wells can help the buyer assess the situation accurately. Properties with reliable municipal water connections or well-documented private water sources will fare better than those with uncertain or limited water access.

What if I hold a note on a property in the Wimberley Valley?

The Wimberley Valley is one of the most scenic and desirable areas in Hays County, and notes backed by property here can be quite attractive to buyers who understand the Hill Country market. Property values in the Wimberley area are driven by the natural beauty of the landscape, the charm of the community, and the proximity to both Austin and San Antonio. However, Wimberley Valley properties can also present unique considerations, including flood risk along Cypress Creek and the Blanco River (which experienced devastating flooding in 2015), limited utility infrastructure in some areas, and deed restrictions that may affect development potential. Being transparent about these factors and providing any relevant documentation — such as flood zone maps, insurance information, and utility access details — will help the buyer evaluate the collateral and offer a fair price.

Is selling a partial note an option in Hays County?

Yes, partial note sales are available for Hays County note holders who want to access some cash without giving up their entire income stream. In a partial sale, you sell a specified number of future payments to the buyer and retain the right to the remaining payments after that period. This approach gives you upfront liquidity while preserving some long-term income. Partial sales are more complex to structure than full sales, and the total payout will be less than you would receive from selling the entire note, but they offer a middle-ground option for note holders who want flexibility. An experienced buyer can walk you through the partial sale options and help you find the arrangement that best fits your financial goals. For a detailed comparison, see this guide on full versus partial land note sales in Texas.