Sunbelt Land Economics
Impact Fee SupplementNo. 5 · Q4 2026
Impact Fee Supplement · Sunbelt growth corridorsData to 30 September 2026
Water connection charges drive the third quarter increase
Fees on a typical new single family home rose 3.8 percent in the quarter. Utility connection charges, not road or school fees, accounted for most of the increase
1Where fees stand
A typical new single family home in the six corridors we track paid an average of $32,600 in impact fees and utility connection charges at the end of September, up $1,200 on June and 7 percent on a year earlier. Five of the six corridors rose in the quarter, and Dallas north was unchanged.1
| Corridor | Sep 2026 | Jun 2026 | Change | Year on year |
|---|---|---|---|---|
| Phoenix West Valley | $38,400 | $35,200 | +$3,200 | +14% |
| Austin north | $41,800 | $40,600 | +$1,200 | +6% |
| Dallas north | $29,500 | $29,500 | $0 | +3% |
| Tampa north | $33,900 | $32,700 | +$1,200 | +8% |
| Charlotte south | $24,600 | $23,900 | +$700 | +5% |
| Nashville south | $27,400 | $26,500 | +$900 | +7% |
| Corridor average | $32,600 | $31,400 | +$1,200 | +7% |
Source: adopted city and county fee schedules and ordinances, utility tariffs, council and commission agendas, Sunbelt Land Economics calculations
Source: adopted city and county fee schedules and ordinances, utility tariffs, council and commission agendas, Sunbelt Land Economics calculations
2What changed this quarter
Six fee changes took effect across five corridors between July and September. Four of them were water or sewer connection charges, which together added $5,100 of the $7,200 in combined increases.2
| Corridor | Charge | Before | After | Effective |
|---|---|---|---|---|
| Phoenix West Valley | Water connection | $9,800 | $12,200 | 1 Aug 2026 |
| Phoenix West Valley | Wastewater connection | $6,100 | $6,900 | 1 Aug 2026 |
| Austin north | Water connection | $11,500 | $12,700 | 1 Jul 2026 |
| Tampa north | Mobility fee | $8,300 | $9,500 | 1 Sep 2026 |
| Charlotte south | Water and sewer capacity | $7,200 | $7,900 | 1 Jul 2026 |
| Nashville south | School facilities tax | $3,600 | $4,500 | 1 Jul 2026 |
Source: adopted ordinances, resolutions and utility tariffs, July to September 2026
3What a home pays for
Water and sewer connection charges are now 47 percent of the fees on a typical home, the largest single component in every corridor except Tampa north, where the mobility fee leads.
Source: adopted city and county fee schedules and ordinances, utility tariffs, council and commission agendas, Sunbelt Land Economics calculations
4Against our Developer Return Survey
5What to watch in the fourth quarter
The Dallas north water utility rate study, due before its council in November, the Austin north roadway impact fee update scheduled for adoption in January 2027, and the second step of the Tampa north mobility fee, which takes effect on 1 January.
How this supplement is built
- A typical home is a 2,200 square foot detached house on a 6,000 square foot lot with a 3/4 inch water meter
- Fees are summed across every jurisdiction and utility that charges a home in the corridor, using the adopted schedule in force at quarter end
- Each schedule is kept with its ordinance or tariff reference and effective date, and prior versions are never overwritten
Approved for subscribersRuth DelgadoDirector of Land Research · 9 October 2026
1 Corridor averages are simple averages of the six corridors, not weighted by permits.
2 Counted changes are those adopted by the governing body and in effect by quarter end. Proposed fees and studies appear under what to watch.