Real Estate Frenzy

Austin home sales shatter all-time record: Could many soon be priced out?

Austin home sales shatter all-time record: Many could be priced out

record home sales chart house
Austin home sales are going through the roof — and reaching record levels. Unconditional.co.nz

The Austin real estate market is hotter than its ever been. All-time records that date back to the 1960s are being shattered with July seeing the most homes sold (3,135) in Austin in any single month ever.

Yet, even some of those doing the selling aren't sure it's all a good thing.

"As home builder’s work to meet demand we can expect home prices to steadily increase, which could price many out of the area," Austin Board of Realtors (ABoR) chair Cathy Coneway said in a statement that accompanied the ABoR's release of the new numbers.

 "We can expect home prices to steadily increase, which could price many out of the area."  

Prices have risen eight percent since July 2012 — with the median price of homes sold in the Austin area reaching $228,250. And homes are selling much faster they have in the past. Single family homes now spend an average of 41 days on the market, 23 days less on average than a year ago.

This all-time record month represents a 35-percent increase over the number of homes sold in July 2012. While these new July numbers broke a longtime record, 3,135 homes sold in a month doesn't figure to last as the benchmark for nearly as long.

Everything is trending up, up, up and up.

"The record number of sales in July can be traced back to Austin’s job growth and strong economy," Coneway said. "The expected rise in mortgage rates may have also encouraged buyers to act now."