Relief is on the horizon in the red-hot Austin housing market, according to the latest monthly report from Austin Board of Realtors.
The June 2022 market report highlights a 218 percent year-over-year increase in the number of active listings in the Austin-Round Rock metro area, growing the area's housing inventory to 2.1 months — a level not seen since November 2019.
“These numbers are a breath of fresh air for a housing market that has been holding its breath,” said Cord Shiflet, 2022 ABoR president, in a release. “The trajectory of our market over the last two years was unsustainable and it was in no way going to last... We are now seeing a move more towards pre-pandemic sales activity and inventory."
In the city of Austin, housing inventory spiked 145 percent in June 2022 compared to June 2021, and in Travis County, inventory jumped 159 percent year-over-year. Despite the significant increase in inventory and a decrease in sales (ABoR reports metro sales dropped 7.7 percent in the first half of 2022), home prices are still on the rise, but in less dramatic fashion.
“Home prices are still increasing at a faster pace than the 5-6 percent that’s historically considered normal," Shiflet said. "However, that’s still much better than this time last year, when the median price increased 43 percent year over year compared to June 2020."
In June, the city's median home price reached $615,000, a record for the month of June, but a drop from the May 2022 median of $667,000. The greater metro's median price sat at $537,475 last month, up 13 percent from a year ago, but down from $550,000 in May.
“The Austin market is by no means balanced and it still favors sellers, but buyers have more bargaining power now than at any point since before the pandemic. Homes still closed at over 100 percent of the list price on average last month, but Realtors have started seeing lower list prices and therefore sale prices, over the last few weeks,” Shiflet said.