Generational attraction

Austin named the No. 1 housing market for millennials in 2022

Austin named the No. 1 housing market for millennials in 2022

Zilker Park Austin skyline at sunset
Millennials are drawn to Austin's tech jobs and relative affordability compared with Silicon Valley. Austin's quality of life probably has something to do with it, too. RoschetzkyIstockPhoto/Getty

Stop us if you’ve heard something like this before: A new report ranks Austin as the best home market for millennials and the second-best home market for Gen Xers.

Homebuying platform Knock collected data for the 100 largest metro areas related to affordability, availability of homes, and key attributes important at each stage of life. Austin was one of only two metros to appear in the top 10 in any of Knock’s three categories: millennials, Gen Xers, and baby boomers.

In ranking the Austin area first among millennial markets, Knock points out that Austin boasts 40 times more new millennial residents on average than the 99 other big metros.

“Austin increasingly has been noted for its growing tech industry, with over double the national average of tech jobs. Although home prices grew more than 30 percent in 2021, [Austin] continues to be more affordable than Silicon Valley and other major tech hubs,” Knock says.

In 2021, the median sale price of a home in the Austin metro area reached $450,000, up 30.8 percent from the median price a year earlier, according to the Austin Board of Realtors.

On Knock’s list of the best home markets for Gen Xers, Austin lands at No. 2, behind only Miami.

“Offering more managerial positions than the national average, Austin is more than a millennial town. While many are attracted to the city during the early stage of their career, it’s also a great place to raise a family and progress professionally,” Knock says.

San Antonio is the only other Texas market to make any of Knock’s lists. The metro area ranks fourth among the best markets for millennials.

“With the typical San Antonio home selling for nearly $200,000 less than a comparable home in Austin, and a strong job market, San Antonio is becoming a more affordable alternative to Austin, attracting over 7,000 movers from the Austin area to San Antonio in 2019,” Knock says.