Austin housing market boasted big profits for sellers in 2017, shows new study
Austin homeowners who sold their digs in 2017 made a pretty penny, according to a new report from Zillow.
Last year, Austin metro area homes sold for a median of $57,697 more than the purchase price, a gain of 27.1 percent — the second highest return in Texas.
Zillow says the current 20 percent down payment on a median-priced Austin home is $58,620, meaning sellers' profits were just shy of covering their next down payment in the Capital City. The typical local seller owned the home for only 5.6 years prior to selling, far less than the 8.4 years nationwide.
"In a housing market that’s been plagued by low inventory and increasing demand, homeowners in the nation’s hottest markets have been able to cash in when they sell their homes," said Zillow senior economist Aaron Terrazas in a release.
Across the nation, homes sold for 21 percent more than the purchase price, or $39,000. In Texas, Austin, Dallas-Fort Worth, and Houston exceeded the national average; only San Antonians made less. There, homes sold for 19.7 percent over the purchase price, or $34,029, which is less than the $36,560 needed for a down payment right now.
DFW boasted the highest return in Texas: 31.4 percent, or $56,297. And with the median down payment estimated at $45,020, DFW residents were left with a nice cushion for their next move. Houston sellers received $43,374 more than the purchase price, a gain of 24.7 percent, and enough to cover the median $39,100 down payment.
The Texas figures pale in comparison to California, where San Jose and San Francisco sellers made $296,000 and $222,000, respectively.