How Much Does It Cost to Build a Custom Home in McAllen, TX? (2026 Complete Guide)
If you are thinking about building a custom home in McAllen, TX or anywhere in the Rio Grande Valley, the first question you need answered is: how much is this actually going to cost?
Most articles give you vague industry ranges. We are going to give you our exact 2026 package pricing, because at South Texas Builders, transparency has been a core value since Israel González founded this company in 1992.
This guide covers our four construction packages, what each one includes, real cost estimates by home size, financing options, and a clear answer to the build vs. buy question in the RGV market today.
Our 4 Construction Packages: Real 2026 Pricing
South Texas Builders offers four clearly defined construction packages for single-family homes in the Rio Grande Valley. Every package is for single-story construction except the last, and all include permits (except windstorm where applicable by zone).
📍 Important
These prices apply to the Rio Grande Valley service area. Pricing may vary for Alice, TX and Coastal Bend projects. Contact us at 956-594-6936 for a custom quote on projects outside the RGV.
Basic Package ($105 / sq ft) | Single Story
20-year shingle roof · 9 ft plate height
Custom kitchen — basic level
Custom exterior design — basic (no stone, 2 exterior colors)
Custom closets — basic
Custom pantry — basic
Granite countertops — kitchen & bathrooms only
Standard front door
1 ceiling design in living area; flat ceilings elsewhere
Entertainment wall / fireplace — basic
1 interior door style
2 interior / 2 exterior paint colors
Medium Basic ($111 / sq ft) | Single Story
30-year shingle roof · 9 ft plate height
Custom kitchen — basic
Custom exterior design
Custom closets — basic
Custom pantry — basic
Granite countertops throughout
Custom front door
3 interior ceiling design styles
Entertainment wall / fireplace — basic/limited
3 interior door options (6'8")
5 interior / 4 exterior paint colors
Fully Loaded ($115 / sq ft) | Single Story
30-year shingle roof · 9 ft plate height
Custom kitchen
Custom exterior design — brick, siding, Hebel or stucco
Custom closets & pantry
Granite countertops throughout ($700/slab)
Custom front door
3 interior ceiling design styles
Custom entertainment wall / fireplace
3 interior door options (6'8")
5 interior / 4 exterior paint colors
Open-cell spray foam insulation throughout
Fully Loaded — Two Story ($122 / sq ft) | Premium
30-year shingle roof · All Fully Loaded features
All Fully Loaded single-story features included
Custom kitchen & custom exterior design
Custom closets, pantry & granite countertops
3 ceiling design styles & custom front door
Custom entertainment wall / fireplace
5 interior / 4 exterior paint colors
Optional: metal roof upgrade (+$5–$8/sq ft)
Available Upgrades (Any Package)
Several high-value upgrades can be added to the Fully Loaded package at a clearly defined additional cost:
Optional Upgrades & Add-Ons
Metal Roof
Additional Cost: +$5/sq ft (single story)
Notes: Approx. — final per plan
Metal roof (two story)
Additional Cost: +$5–$8/sq ft
Notes: Approx. — final per plan
10 ft plate height
Additional Cost: +$3–$5/sq ft
Notes: Adds ceiling volume & light
Exterior stone detail
Additional Cost: $5.00/sq ft material
Notes: Fully Loaded only, if on plan
Kitchen backsplash
Additional Cost: 50 sq ft @ $8.00/sq ft
Notes: Fully Loaded — included in allowance
Material & Finish Allowances by Package
Each package includes defined allowances for materials. Understanding these helps you plan your selections budget accurately.
Basic Package
Plumbing fixtures: 0.75% of contract
Electrical fixtures: 1.0% of contract
Tile flooring (material): $1.50/sq ft
Shower floor: $2.50/sq ft
Shower walls: $2.00/sq ft
Medium Basic
Plumbing fixtures: 0.75% of contract
Electrical fixtures: 1.0% of contract
Tile flooring: See package details
Granite countertops: Throughout
30-yr shingle roof: Included
Fully Loaded
Plumbing fixtures: 0.75% of contract
Electrical fixtures: 1.5% of contract
Tile flooring (material): $2.00/sq ft
Shower floor: $3.50/sq ft
Shower walls: $3.00/sq ft
Countertop slabs: $700/slab
Kitchen backsplash: 50 sq ft @ $8/sq ft
Mirrors: $600 total
Interior handles/locks: $22 each
Cabinet hardware: $500 total
Always Included — Every Package
Regardless of which package you choose, the following are included in every South Texas Builders contract:
All permits (except windstorm if applicable by zone)
Windows: 1.5% of sale price allocation
Open-cell spray foam insulation (Fully Loaded packages)
10 dirt hauls (14 yards each)
Recessed lighting (within electrical allowance)
Custom blueprints — FREE with every home purchase
What's NOT Included
Being clear about what is not in the contract protects you from surprises. The following items are quoted separately:
Septic tank
Appliances
Water & electrical connections to property
Windstorm insurance (zone-dependent)
Mailbox
Dirt hauls beyond the 10 included trips
💡 Pro Tip
During your free consultation, we walk through every line item — included and excluded — so there are zero surprises on your final contract. This is the South Texas Builders standard since 1992.
What Does My Home Cost? Estimates by Square Footage
Use the table below to get a quick estimate based on your target home size and package. These figures represent construction costs only — land, utility connections, and permits are separate.
* Construction cost only. Land, permits, utility connections, and septic (if applicable) are quoted separately. Contact us for your personalized estimate.
How to Finance Your Custom Home Build in McAllen
South Texas Builders works with all major construction loan programs available in Texas. Our team will connect you with trusted local lenders in McAllen the same day you call — no obligation, no pressure.
FHA Construction Loan - 3.5% minimum down payment
Best for first-time builders. Flexible credit requirements (580+ score). One-time close available. Perfect for RGV families building their first custom home.
VA Loan for Veterans - $0 down payment
Zero down for eligible veterans, active-duty military, and surviving spouses. No PMI. We are proud to serve the military families of South Texas.
Conventional Loan - 10–20% down payment
Best long-term rates for buyers with strong credit (620+, best rates at 740+). No mortgage insurance once you reach 20% equity.
USDA Rural Development - $0 down payment
Zero down for eligible rural areas. Many RGV locations — especially in Starr County and outer areas — qualify. Income limits apply.
Construction-to-Perm - 1 closing — saves $2K–$6K
Combines the construction loan and permanent mortgage in a single closing. Available in FHA, VA, and Conventional versions. Reduces your total closing costs significantly.
🏦 Your Land May Count as a Down Payment
If you already own your lot, the equity in your land may serve as part or all of your required down payment on a construction loan. This is one of the most powerful benefits of our Build On Your Lot program. Ask our team for details when you call.
Build vs. Buy in McAllen in 2026: The Honest Answer
This is the question every RGV family asks. Here is our honest, non-salesy take:
🏗️ Build with South Texas Builders
Exactly the layout your family needs
Brand-new systems — zero deferred maintenance
Builder's warranty (1-yr workmanship, 10-yr structural)
Open-cell spray foam insulation = lower utility bills
Post-tension slab — engineered for RGV soils
Current 2024 Texas energy codes
Free blueprints, transparent pricing by package
6 months until move-in
🏠 Buy an Existing Home in McAllen
Move in within 30–60 days of closing
Established neighborhood, mature trees
Older HVAC, roof, plumbing — replace when?
Layout is fixed — must renovate to change
Foundation issues common in older RGV homes
Built to older, less efficient energy codes
Hidden inspection surprises after closing
Limited inventory in desirable RGV areas
📊 Bottom Line
A new 1,800 sq ft custom home built at our Fully Loaded rate ($207,000 construction cost) is directly competitive with existing homes in McAllen's current market — but you get brand-new everything, a warranty, spray foam insulation, and a home built exactly the way you want it. The only real trade-off is time. If you can wait 7–12 months, building almost always wins.
How Long Does It Take to Build in McAllen?
Weeks 1–2: Pre-Qualification & Consultation
Get pre-approved with a local lender. Free site evaluation if you own land. Zero obligation consultation with our team.
Weeks 2–3: Custom Design & Blueprints
Our design team collaborates with you to create your personalized floor plan. Revisions until it is exactly right. Blueprints are FREE.
Weeks 3–6: Selections, Permits & Loan Closing
Choose your finishes with our Selections Coordinator. Permits submitted to the City of McAllen (3–6 weeks). Loan closes — construction green light.
Weeks 6 - 10: Foundation, Framing & Roof
Site prep, post-tension slab pour, wall and roof framing. City inspections at each structural phase.
Weeks 11 - 15: MEP, Insulation & Drywall
Plumbing, electrical, HVAC rough-ins. Open-cell spray foam (Fully Loaded). Pre-drywall walkthrough with you before closing the walls.
Weeks 15 - 20+: Interior Finishes & Key Delivery
Flooring, cabinetry, countertops, fixtures, paint, trim. Final city inspection. Final walkthrough. Keys are yours
Why South Texas Builders? Our 33-Year Story
South Texas Builders was founded in 1992 by Israel González as González Construction — a family business rooted in the Rio Grande Valley. In 2010, his son Javier González joined the company, carrying the family legacy into a second generation. By 2025, Rolando Peña and Cristo Calderón had joined the team, and the company rebranded as South Texas Builders to reflect its growth across the RGV.
Today, our leadership team — Javier González (Director of Construction) and Cristo Calderón (Director of Transaction) — brings combined decades of experience building custom homes throughout Hidalgo, Starr, and Cameron Counties, and Alice, TX.
Frequently Asked Questions
How much does it cost to build a 2,000 sq ft home in McAllen with South Texas Builders?
A 2,000 sq ft home in McAllen with South Texas Builders costs $210,000 with the Basic package ($105/sq ft), $222,000 with Medium Basic ($111/sq ft), $230,000 with Fully Loaded ($115/sq ft), or $244,000 with the Two-Story Fully Loaded ($122/sq ft). These are construction costs only — land, permits, utility connections, and any applicable septic are quoted separately.
What is the difference between the Basic and Fully Loaded packages?
The key upgrades in the Fully Loaded package ($115/sq ft) over the Basic ($105/sq ft) include: a 30-year shingle roof instead of 20-year, granite countertops throughout (vs. kitchen and bathrooms only), open-cell spray foam insulation, a custom front door, 3 ceiling design styles (vs. 1), a custom entertainment wall, brick, siding, Hebel or stucco exterior options, 3 interior door options (vs. 1), and significantly higher material allowances for tile, fixtures, and hardware. The $10/sq ft difference on a 1,800 sq ft home equals $18,000 — often well worth it for the long-term energy savings from spray foam alone.
Does South Texas Builders build two-story custom homes?
Yes — our Fully Loaded Two-Story package is priced at $122 per square foot and includes all features of the single-story Fully Loaded package. Optional upgrades include a metal roof at an additional $5–$8 per square foot. Two-story homes are ideal for larger families who want more square footage on a smaller footprint, or for lots where a taller silhouette is preferred.
Are permits included in the construction price?
Yes — all permits are included in every South Texas Builders package, with one exception: windstorm permits, where applicable depending on your zone. We manage the entire permit process on your behalf with the City of McAllen, Edinburg, Brownsville, or your specific municipality. This is a significant time and stress savings for our clients.
Can I build with a VA loan in the Rio Grande Valley?
Absolutely — South Texas Builders is proud to work with VA construction loans for eligible veterans, active-duty service members, and surviving spouses. VA loans require zero down payment and carry no private mortgage insurance (PMI), making them one of the best construction financing options available. You will need your Certificate of Eligibility (COE), which your lender can help you obtain. Our team can connect you with a trusted local VA lender the same day you call: 956-594-6936.
What does open-cell spray foam insulation mean and why does it matter?
Open-cell spray foam insulation is a premium insulation material that expands to fill every gap in your walls, ceiling, and attic — creating an airtight thermal envelope that standard batt insulation cannot match. In the South Texas climate, where summer temperatures regularly exceed 100°F, this translates directly into meaningfully lower air conditioning costs over the life of your home. It also reduces noise transmission, improves indoor air quality, and adds structural rigidity. Open-cell spray foam is included throughout the Fully Loaded packages at no additional charge — one of the most valuable features of choosing that tier.
What happens if I want to change something after construction has started?
Changes after construction begins are handled through a formal Change Order process. You submit the request to our project manager or Javier González directly, we assess the cost and schedule impact, and provide a written Change Order for your approval before any work proceeds. The earlier in the construction process a change is requested, the less expensive it tends to be. Changes made before framing is complete are generally straightforward. Changes after drywall installation — such as moving walls or plumbing — are more costly due to demolition and rework. We strongly encourage finalizing all design decisions during the blueprints and selections phase to keep your project on budget and on schedule.
Ready to Get Your Real Estimate?
Call us today or schedule a meeting with us. Zero obligation — just a real conversation about your dream home.
