Armstrong renovated the 7,850-square foot home himself and used it as a base for Livestrong Foundation fundraisers and parties after purchasing the estate in 2004.
Though local real estate agents said the home was on sale for $10 million, Al Koehler, an oil-and-gas rights agent who purchased the property, said he paid far less than the asking price. A Travis County deed of trust shows that Koehler recently took out a $3.1 million loan.
Koehler said he was happy the estate "stayed with a loyal Austinite."
“We can do a lot of good for the city of Austin with this home… I didn’t pay anything close to that (listing), but the Austin rumor mill is what it is," he said.
The Statesman says Armstrong "took great pride" in the house, and put all seven of his winning Tour de France jerseys on display.
Since Armstrong admitted to using performance-enhancing drugs last year, the cyclist was stripped of his seven titles and severed ties with companies he was endorsing. He now faces a civil fraud suit filed by his former teammate, Floyd Landis, and the U.S. Department of Justice.
2014: The Year in Music [PHOTOS]