Retiring in Woodway, Texas

Retiring in Woodway: overview

Woodway is in McLennan County, Texas, within the Waco, Temple & Brazos Valley region.

Woodway is an incorporated city in McLennan County that adjoins Waco on the west and sits near Lake Waco. The city's own history page says it was incorporated in 1955 and has grown from about 250 people to a master-planned community of approximately 9,500. It is one of the Waco-area places where older residents make up an unusually large share of the population: the Census Bureau's American Community Survey 2019-2023 five-year profile estimates that 2,186 of Woodway's 9,483 residents are 65 or older, which is 23.1 percent, and puts the median age at 44.1. For comparison, the same survey puts the share at 13.2 percent in Waco itself. Woodway is part of the Waco, Temple & Brazos Valley region.

The case for Woodway is a suburban, owner-occupied setting with city parks, a municipal arboretum, two full-service hospitals in Waco, a regional airport, and property tax rates that are lower at the city level than in Waco. The case against is that it is a small city without its own hospital, that central Texas summers are long and hot, that tornado and hail season requires planning, and that school and county taxes make up most of a property-tax bill regardless of the city rate. The sections below give the figures that public agencies publish, with the year of each. Cities nearby are described in Waco, and the broader context for property taxes is in the guide to Texas property taxes and appraisal districts.

Cost of living in Woodway

The American Community Survey 2019-2023 profile estimates Woodway's median household income at $115,729. That is more than twice the $51,468 estimate for Waco from the same survey, so Woodway sits at the higher end of the local market. Housing costs reflect that: the survey's median value of owner-occupied homes in Woodway is $336,100, the median monthly owner cost for homes with a mortgage is $2,060, and the median gross rent is $1,748 per month. In Waco the same survey gives a median home value of $199,600. These are five-year survey estimates with margins of error and they lag current sales, so a current listing or recent closed sale is a better guide to the price of a particular house.

Texas has no state personal income tax, which is described in Texas retirement taxes. That does not remove housing-related costs. For Woodway owners the largest recurring items are the property tax bill described below, homeowners insurance, which depends heavily on roof age and hail history, and utilities. The city operates its own water system and lists a master fee schedule on its website, which is the place to check current municipal charges.

Property taxes in Woodway

Property tax in Woodway is levied by several taxing units on the value that McLennan Central Appraisal District assigns. The appraisal district sets values and processes exemptions; each taxing unit sets its own rate. The district lists the City of Woodway, McLennan County, McLennan Community College and Midway ISD among the units whose property it appraises, and the Texas Comptroller's county directory lists the City of Woodway and Midway Independent School District as McLennan County taxing units.

For tax year 2025, the Comptroller's published rate tables (versions dated January 28, 2026) show a total City of Woodway rate of 0.363836 per $100 of taxable value, made up of 0.345906 for maintenance and operations and 0.01793 for debt service. The same tables show McLennan County at 0.334805 per $100, Midway ISD at 0.9369 per $100 (0.6969 maintenance and operations and 0.24 debt service), and McLennan Community College District at 0.131974 per $100. As an illustration of the arithmetic only, those four rates add to 1.767515 per $100, so a home with a taxable value of $300,000 would have a bill of about $5,302.55 before any other district and before exemptions are applied. Other districts, including water or watershed districts that the Comptroller also lists for McLennan County, apply only to addresses inside them, and the Comptroller says the rates it publishes are subject to change when it issues updates.

The tax year matters. Woodway's own home page carries a Notice of Adopted 2026 (FY27) Tax Rate, which says the city adopted a rate that will raise more maintenance and operations taxes than last year's rate, effectively raised by 7.38 percent, and would raise taxes on a $100,000 home by approximately $28.04. That notice concerns the 2026 rate; the figures above are for 2025, so read them as a sense of scale and confirm current rates with the appraisal district or the city.

Exemptions reduce taxable value; they are not cash payments. The Texas Comptroller states that Tax Code Section 11.13(b) requires school districts to provide a $140,000 residence homestead exemption and that Section 11.13(c) requires an additional $60,000 exemption for homeowners age 65 or older or disabled. Any taxing unit can also adopt local option exemptions; the Comptroller says the local option homestead exemption cannot exceed 20 percent of appraised value and cannot be less than $5,000, and the local option age-65 exemption cannot be less than $3,000. The amount each unit actually grants in Woodway should be confirmed with McLennan Central Appraisal District. The district's FAQ says only a one-time application is required unless the chief appraiser asks for a new one, and that homeowners 65 or older must apply for the age-65 exemption no later than one year from their 65th birthday. The district's home page says homestead exemptions can be filed online. The school-tax ceiling that follows the age-65 exemption has its own conditions and does not freeze all property taxes; see homestead and age-65 exemptions.

The district's office is at 315 S 26th Street in Waco, and its home page lists a property owner assistance line at 254-752-9864.

Insurance and risk in Woodway

Severe thunderstorms with hail and tornadoes are the weather hazard most relevant to a Woodway homeowner. The National Weather Service describes tornadoes as capable of completely destroying well-made structures and says they can occur at any time of day or night and at any time of the year, and it publishes preparedness guidance. The Texas Department of Insurance advises homeowners with wind and hail coverage to file a claim as soon as they can, to take pictures and video of damage, to get more than one repair estimate, and to avoid contractors who offer to waive a deductible, which is illegal under state law. Its roof page explains that some policies pay replacement cost on a roof while others pay actual cash value, which can be less when the roof is older or worn, and that a company will not pay for a new roof just because the old one is worn out, so roof age and material are worth examining before buying a home. It also advises asking whether the wind and hail deductible differs from other deductibles. Premiums are not quoted here; they depend on the insurer, roof, claims history and address.

Flood risk is address-specific. FEMA says any place with a 1 percent or higher chance of flooding each year is considered high risk, that floods do not follow city limits or property lines, and that flood maps show how a property relates to the highest-risk areas. It also says that most homeowners insurance does not cover flood damage, that flood insurance is a separate policy, and that homes in high-risk flood areas with mortgages from government-backed lenders must have it. Woodway's Lakeside Park and trails sit near Lake Waco, a U.S. Army Corps of Engineers reservoir whose stated mission includes flood control for the Waco area and water supply for the city of Waco. Check the flood map for any property near the lake or along creeks before an offer.

Wildfire and drought are less central here than hail and tornadoes, but the Texas A&M Forest Service describes itself as the lead agency in Texas for fighting wildfires.

Healthcare access in Woodway

Woodway does not have its own hospital; residents use Waco hospitals. Baylor Scott & White Medical Center - Hillcrest is at 100 Hillcrest Medical Blvd in Waco, in the same 76712 ZIP code as Woodway's city offices. Its website describes a 260-bed hospital offering trauma and acute care, orthopedics and sports medicine, a Level III neonatal intensive care unit, and what it calls the most comprehensive freestanding cancer center in the region. Its cancer center, the McClinton Cancer Center, is described as accredited by the Commission on Cancer as a Community Cancer Center, and the hospital lists emergency care 24 hours a day.

Ascension Providence Hospital in Waco describes itself as a full-service hospital with 24/7 emergency care, a surgical center with robotic and image-guided technology, and services in heart and vascular health, neurosurgery, orthopedics, women's health and maternity. It reports a Commission on Cancer accredited cancer program, designation as a Primary Stroke Center by The Joint Commission, and designation as a Level II Stroke Center by the State of Texas. It also says it has served the Waco community for more than 120 years.

For veterans, VA Central Texas lists a Waco location at 4800 Memorial Drive, and its site refers to the Doris Miller VA Medical Center in Waco; the system's main location is in Temple. Which hospital a household uses depends on its physicians and Medicare or private plan network, which change each year, so confirm network status before choosing a home. For the general framework, see the guide to Texas healthcare geography and Medicare.

Climate in Woodway

Woodway has a hot, humid-subtropical climate. The nearest official climate-normals station is Waco Regional Airport, which is not in Woodway, so these figures are a regional reference. The National Centers for Environmental Information's 1991-2020 normals for Waco Regional Airport show a normal daily high of 59.1 degrees Fahrenheit in January, 96.7 in July and 97.1 in August, with a normal January low of 35.8. The monthly counts of days at or above 90 degrees are 23.1 in June, 29.1 in July and 28.5 in August, and about 114.8 days across the year by our arithmetic from the twelve monthly values. Normal precipitation ranges from 1.82 inches in July to 4.44 inches in May, and the twelve monthly values add to about 36.4 inches by our arithmetic.

Cold nights are fewer. The normals list about 11.5 nights in January and 9.8 in December with a minimum at or below 32 degrees. Rainfall arrives unevenly, and both drought and flash flooding occur in central Texas. The guide to Texas summer heat, humidity and climate by region compares Waco with other parts of the state.

Lifestyle and recreation in Woodway

The City of Woodway maintains four public parks. Its parks page describes Poage Park at 100 Poage Drive, Lakeside Park at 2025 Estates Drive near Lake Waco, which has an 18-hole disc golf course, a lighted pavilion, a playground and hike and bike trails and is open daily from 5 a.m. to 10:30 p.m., and the Woodway Activity Park at 1625 Estates Drive. It also lists over 6 miles of nature trails that run adjacent to the lake.

The Carleen Bright Arboretum covers 16 acres of botanical gardens and includes the Pavilion event center, the Whitehall Center, which is a replica of the area's first church, demonstration gardens, a cactus garden, an herb garden, roses, the Massey Meditation Grove and the Todd Willis Nature Trail. The arboretum is a certified monarch butterfly waystation, and its splash pad is open from Memorial Day weekend through Labor Day weekend. The Woodway Family Center has offered youth sports and recreation for about thirty years, and the city's Family Center page links to senior programs, adult programs and rentals.

The city's comprehensive plan, Woodway Forward, was adopted by the city council on June 10, 2024. It is a policy document with strategies for land use, mobility, housing and neighborhoods, downtown, public infrastructure and stormwater, and community facilities, and the city notes that it is not zoning. Midway ISD, which is headquartered at 13885 Woodway Drive in Woodway, describes award-winning fine arts and a professional development school partnership with Baylor University, and says that out-of-district transfers are free beginning with the 2026-27 school year. School quality matters mainly to households with children or grandchildren, but the district's tax rate is part of every owner's bill. Check the district's maps to confirm which district serves a particular address.

Housing in Woodway

The 2019-2023 survey counts 3,785 housing units in Woodway and estimates that 91.3 percent of occupied units are owner-occupied, a much higher owner share than in Waco, where the survey estimate is 48.9 percent. That points to a market of single-family homes on established streets rather than apartments. The city's comprehensive plan includes a housing and neighborhoods strategy, but the city's materials do not describe an age-restricted ownership community, and none is profiled here. Households looking for a managed retirement setting should check directly with providers in Woodway and Waco and confirm licensing, contract terms and fees.

City utilities shape the practical side of ownership. The Water Division says it produces and distributes water from six deep wells, supplements that supply with treated water from the City of Waco and Bluebonnet Water Supply Corporation, can produce 4.09 million gallons per day from city wells and maintains 7.580 million gallons of ground storage. It maintains approximately 3,400 water meters. Wastewater collected in Woodway is treated at a regional facility maintained by the City of Waco. Public safety is provided by a combined department whose officers are cross-trained in police and fire duties and supported by volunteer firefighters. Waco Regional Airport, which appears among the City of Waco's departments, says it has served Central Texas for more than 75 years, that it is near Interstate 35, and that passenger check-in and checked baggage processing close 45 minutes before departure.

Places near Woodway

• WacoThe McLennan County seat on the Waco side of the I-35 corridor, with two full-service hospitals, a regional airport, Lake Waco, a median age under 30, home values well below Woodway's and a rental-heavy housing market.
• HewittA McLennan County suburb south of Waco with a median household income of $83,798, 17.8 percent of residents aged 65 or older, Midway ISD schools, hospitals in Waco, hail and tornado exposure, and a municipal water system whose regional-plan need rises from 16 percent of demand in 2020 to 47 percent in 2070.

Guides relevant to Woodway

• Texas healthcare geography and Medicare network considerations
• Texas summer heat, humidity and climate by region