Methods for forming embedded epitaxial layers containing silicon and carbon are disclosed. Specific embodiments pertain to the formation embedded epitaxial layers containing silicon and carbon on silicon wafers. In specific embodiments an epitaxial layer of silicon and carbon is non-selectively formed on a substrate or silicon wafer, portions of this layer are removed to expose the underlying substrate or silicon wafer, and an epitaxial layer containing silicon is formed on the exposed substrate or silicon wafers. In specific embodiments, gates are formed on the resulting silicon-containing epitaxial layers.