Active Listing  ·  40 days on market

816 Terrace Mountain Dr

West Lake Hills, TX 78746
$1,850,000
5 Bed 3 Bath 2,725 sqft $679/sqft Built 1980 0.55 acres 2-Car Garage Pool Stonehedge Estates

A rare single-story retreat tucked beneath heritage oaks in the heart of West Lake Hills — thoughtfully updated and ready for its next chapter. Set on a private .55-acre lot at the end of a circular drive, this 5-bedroom, 3-bath home offers 2,725 square feet of easy one-level living. Beamed, cathedral and vaulted ceilings give the main rooms real scale, anchored by a wood-burning fireplace, while reclaimed tobacco pine floors bring warmth and patina you simply cannot replicate. The kitchen is finished with quartz counters, a breakfast bar, built-in double ovens and generous storage, opening to a dining room sized for real gatherings. A second living area with a marble-topped bar makes entertaining effortless. The primary suite is a true retreat, set apart from the secondary bedrooms with high ceilings, a walk-in closet, and sliders leading to a deck just off the bedroom with oak canopy view. The en suite bath is finished with a dual vanity and a separate walk-in shower. Recent improvements mean the work is already done: fresh interior paint throughout, new carpet in three bedrooms (2026), a new garage roof (2026), house roof (2016), replacement windows and doors at the front (2020) and rear (2024), updated light fixtures throughout, and both HVAC systems have been replaced in recent years. Outside, mature heavy trees deliver genuine seclusion and layered Hill Country and treetop views, with a screened porch, multiple patios and composite decks made for shaded Texas evenings. A detached two-car garage with built-in cabinetry, workshop space and epoxy flooring adds rare functionality, plus ample parking on the circular drive. All of it inside the City of West Lake Hills and zoned to acclaimed Eanes ISD — feeding Eanes Elementary, Hill Country Middle and Westlake High — with downtown Austin, Lake Austin and Westlake shopping and dining just minutes away.

At $679/sqft, this home is 5% below the West Lake Hills active market average of $712/sqft, potentially representing value relative to comparable properties currently on the market. View Austin market report →

Location

816 Terrace Mountain Dr, West Lake Hills, TX 78746

Property Details

Price $1,850,000
Status Active Listing
Beds 5
Full Baths 3
Half Baths ,
Living Area 2,725 sqft
Lot Size 0.55 acres (24,045.12 sqft)
Year Built 1980
Garage 2 spaces
Stories ,
Type Residential · Single Family Residence
Subdivision Stonehedge Estates
County Travis
Zip Code 78746
$/sqft $679/sqft
Days on Market ,
HOA None / verify with agent
Annual Tax Est. $19,143
Pool Yes
Waterfront ,
New Construction ,
MLS # ACT240416578
List Date August 14, 2026
Elementary School Eanes
Middle School Hill Country
High School Westlake
School District ,

Luke Allen (TREC #788149) has deep knowledge of West Lake Hills and surrounding markets. Whether you're buying, selling, or just researching comparable sales, reach out for a no-pressure conversation.

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Investment Analysis

Rental Income Potential

The numbers below use conservative Austin-market assumptions. They are estimates, not a guarantee. Actual rents vary by condition, timing, and management. Read our full Austin rental property guide →

Est. Monthly Rent
$8,880/mo
0.48% rule · conservative Austin est.
Gross Yield
5.76%
Annual rent ÷ purchase price
Cap Rate (est.)
3.46%
NOI after 40% vacancy + expenses
Down Payment
$370,000
20% conventional investment loan

Monthly Cash Flow Breakdown (20% down · 7.25% rate)

Estimated Gross Rent+$8,880
Principal + Interest−$10,096
Property Tax (~2.1% TX avg)−$3,238
Insurance (~0.5%)−$771
Est. Monthly Cash Flow $-5,225

At current rates and prices, many Austin luxury properties run neutral or slightly negative on pure cash flow, appreciation and equity paydown are the primary return drivers. BRRRR and off-market acquisitions can improve day-one cash flow. Learn about the BRRRR method in Austin →

Commute & Employment

Major Employers Near West Lake Hills, TX

West Lake Hills sits within commuting range of Austin's major tech, manufacturing, and corporate campuses. Approximate drive times from this area:

Tesla Gigafactory 15-25 min E
Apple Campus (Domain) 20-30 min N
Google / Meta / Indeed 10-15 min downtown
Dell Medical School / UT Austin 10-20 min
Samsung Austin Semiconductor 25 min N

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About the Author
Luke Allen, Austin TX Realtor, TREC #788149
Luke Allen
Licensed Austin TX Realtor · TREC #788149 · Full-time since 2019
★★★★★ 5.0 on Google · 30 Reviews

Luke Allen is a full-time Austin TX Realtor with the Austin Marketing + Development Group brokerage. He works with buyers, sellers, and investors across every Austin ISD and the surrounding neighborhoods, from Downtown and East Austin to Round Rock, Cedar Park, and the Hill Country. Every page on this site is written and maintained by Luke. This page was last updated on September 19, 2026.

📞 (254) 718-2567 [email protected] More about Luke →