real estate report

Austinites waiting for the right time to buy a home should buy now, new report says

Median home prices in the Austin-Round Rock MSA dropped to $424,450 in November 2023.

Courtesy of Realty Austin

Elevated mortgage rates and declining home prices in November allowed for more accessible housing options, but many homes in Austin are still out of reach to the average buyer, the Austin Board of Realtors has revealed in a new report.

In the Austin-Round Rock metropolitan statistical area (MSA), median home prices dropped more than 8 percent to $424,450 in November, and more than 2,000 homes were sold. There were more than 9,300 active home listings on the market, and pending sales increased 9.2 percent year-over-year to 2,065.

Even with the lower prices, Austin-area homes are spending more time on the market than in previous months, averaging about 75 days in November. According to 2023 ABoR president Ashley Jackson, Central Texas homebuyers now have a greater selection of inventory to choose from than in past years.

"The drop in median home prices indicates buyers can be a little more selective in the search for a home that checks all their boxes," Jackson said. "For buyers actively shopping for a home — and those who have been sitting on the fence waiting for their time to strike — now is the time to contact your realtor and get serious about buying a home."

ABoR housing economist Clare Losey, Ph.D. added that increased mortgage rates were balanced out by the "moderation" in home prices, which also helped the ongoing issue regarding affordability. There is some optimism ahead in the coming year.

"Rates peaked in late October and early November, signaling a rise in buyers’ purchasing power moving into 2024," Losey said.

Travis County
840 homes were sold in November in Travis County, with median prices dropping nearly 2 percent year-over-year to $510,000. There were 4,489 active listings on the market; about 15.2 percent more than November 2022.

Williamson County
Nearly 700 homes were sold in Williamson County, with median prices falling to $416,545. There were 818 new home listings, with a total 2,587 active home listings.

Hays County
381 homes were sold in Hays County, which was a massive 41.6 percent jump in comparison to November 2022. Median home prices have dropped to $368,995; a 10.3 percent decrease year-over-year. Active listings also rose 20 percent to 1,503 homes.

Bastrop County
Home sales in Bastrop County fell 17 percent with only 88 homes sold in November. Median prices have settled at an even $349,000. There were 566 active listings on the market and 147 new home listings.

Caldwell County
Homes in Caldwell County sold for a median price of $313,275. A total of 59 homes were sold, which was more than 50 percent more than the same month the year before, and there were 189 active homes on the market. Caldwell County had 40 new homes on the market in November.

local real estate report

Homebuyers can afford to be picky as Austin housing inventory rises

Photo by Avinash Kumar on Unsplash

Housing economist Clare Losey said the most significant factor affecting home sales in Austin is high mortgage rates.

The latest real estate report from Unlock MLS and the Austin Board of Realtors (ABoR) has revealed housing inventory is still on a steady rise in the Austin-Round Rock-San Marcos MSA, creating more choices for potential homebuyers as they navigate a high interest rate market.

Residential home sales dipped by a mere 1.5 percent year-over-year from October 2023, amounting to 2,248 closed sales in the Austin-Round Rock-San Marcos MSA. Median prices have also dropped to $430,000, or 3.2 percent less than this time last year. More than 3,300 new home listings were added on the market — a 7.4 percent increase from 2023 — bringing the total number of active home listings to 11,599.

According to Unlock MLS and ABoR housing economist Clare Losey, Ph.D., October's mortgage rates stood at 6.4 percent and are showing no signs of a significant drop in the near future. Even heading into 2025, Losey says potential homebuyers who are biding their time in the hopes of seeing rates plummet "may be in for a long wait."

"In the meantime, sellers must recognize that bringing buyers to the table requires a more aggressive pricing approach," Losey said. "Even in a more balanced market, buyers with limited purchasing power are struggling to meet current price expectations."

As for the overall health of the Central Texas housing market, 2024 Unlock MLS and ABoR president Kent Redding labeled recent news reports that called Austin "ground zero" for a downturn as an "extreme over-exaggeration."

"Austin led the state and nation in record-breaking home price growth and sales activity during the pandemic," Redding said. "For three years, near-zero housing inventory, numerous offers above list price and a rapid-paced market raised home prices and left little negotiating power for buyers. During this record-setting growth, ABoR and Unlock MLS consistently emphasized the unsustainability of the rapid growth, and now, our market is working to balance those extremes."

Central Texas housing trends in October 2024

In Travis County, 979 homes were sold last month — a slight 2.5 percent increase from last year. Median prices remained flat year-over-year at $510,000. Active home listings continued growing to 5,702 homes, which is 9.4 percent more year-over-year.

In Williamson County, 807 homes were sold in October, with median prices steadily dropping to $420,000. There were 1,028 new home listings on the market, showing a 4.5 percent increase from October 2023, bringing the total number of active home listings to 3,369.

Residential home sales dropped by nearly eight percent in Hays County in October, totaling 315 sales. Median prices also fell 5.5 percent year-over-year to $359,000. Active listings rose 6.6 percent year-over-year to 1,740 homes with the addition of 534 new listings on the market.

Meanwhile, 114 homes were sold in Bastrop County last month, which is 4.4 percent more than this time last year. Median prices dropped by a single percentage point year-over-year to $355,000. There were 654 active listings on the market in October, and 152 new home listings, representing a 1.3 percent slip in new inventory when compared to last year.

Only 33 homes were sold in Caldwell County in October to reflect a near 14 percent decline year-over-year from October 2023. Median prices fell to $262,990, which was a 13.5 percent decrease from last year. There were 136 active homes on the market last month, and 40 new homes added on the market.

austin travis county housing market real estate report real estate