Real Estate News

Decreasing housing inventory paired with strong demand continues to drive Austin’s growing affordability crunch, according to the May 2018 Central Texas Housing Market Report from the Austin Board of REALTORS^® (ABoR).

In the city of Austin, the availability of housing compared with demand — as measured through inventory — continues to be historically low while median home prices have reached historic heights.

The median price for single-family homes in the city of Austin increased 3.7 percent year-over-year to $389,000 in May, an all-time high for the city. While home sales rose 5.9 percent to 1,037 sales, housing inventory decreased from 2.1 months last year to 2.0 months during the same time frame. There were fewer active listings as well, as the amount of homes available on the market decreased 6.8 percent to 1,533 listings.

The growth in housing prices in the city of Austin also has implications for the Central Texas region at large, where home prices continue to rise amidst tight inventory. In May 2018, seven in 10 homes sold within the five-county MSA were sold outside of Austin city limits.

In the Austin-Round Rock MSA, home sales rose 4.2 percent year-over-year to 3,210 sales in May 2018 and housing inventory decreased from 2.8 months last May to 2.7 months this year. During the same time frame, the median home price increased 4.8 percent year-over-year to $325,000.

Filed under: Real Estate News by Olga Gilmore

The Austin-area housing market’s declining inventory and robust sales trends are creating an increasingly competitive housing market across all price classes, according to the latest Central Texas Housing Market Report from the Austin Board of REALTORS^® (ABoR).

“In the Austin-Round Rock MSA, price classes across the board are seeing an increase in demand with a decrease in inventory,” Steve Crorey, 2018 president of the Austin Board of REALTORS^®, said. “While new listings are up year-over-year, homes are selling faster than they can be listed on the market. This has led to a smaller number of active listings and an increasingly competitive market for homebuyers.”

Within the Austin-Round Rock MSA, new listings increased 5.6 percent to 4,139 listings; active listings decreased 2.8 percent to 6,154 listings; and pending sales rose 14.3 percent to 3,320 pending sales. The median price of single-family homes in the Austin-Round Rock MSA increased 3.8 percent year-over-year to $316,000 in April 2018. Housing inventory decreased 0.2 months year-over-year to 2.4 months of inventory during the same time frame.

“The desire to live in the city of Austin continues to drive home sales,” Mark Sprague, state director of information capital for Independence Title, said. “Inventory levels for luxury homes priced at $700,000 or higher have decreased year-over-year, and the inventory for homes priced under $500,000 continues to decline in Austin. As a result, we’re seeing locals purchase more homes in the suburbs. However, the real estate landscape continues to be strong compared to most major cities in the country.”

In the Austin-Round Rock MSA, homes priced between $150,000 and $250,000 stayed on the market, on average, fewer than 35 days. In the city of Austin, single-family homes in this price range spent, on average, between 20 and 33 days on the market in April 2018, indicating a continued inventory shortage amidst strong demand for this price category. The Real Estate Center at Texas A&M University cites the affordable threshold for entry-level homebuyers as $200,000 or less.

“If it’s a desirable home or located near a desirable location, especially if it’s in the city of Austin, the time spent on the market can be much lower,” Crorey said.

City of Austin

In the city of Austin, single-family homes spent an average of 37 days on the market, four more days than April 2017. Single-family home sales increased 7.4 percent from April 2017 to 859 sales and the median price for single-family home sales increased in April by 9.3 percent year-over-year to $390,000. Housing inventory decreased from 2.1 months of inventory in April 2017 to 1.7 months of inventory in April 2018.

Travis County

In April, single-family home sales in Travis County increased 6.4 percent year-over-year to 1,324 sales. The median price for single-family homes in Travis County grew 7.1 percent year-over-year to $380,143 in April. Housing inventory decreased by 0.3 months from the previous April to 2.3 months of inventory.

In Pflugerville, sales decreased 11.9 percent to 104 home sales, while the median price of single-family homes increased 1.7 percent to $259,200.

Williamson County

 Williamson County experienced a 7.6 percent increase in sales volume year-over-year to 904 home sales. During the same time frame, the median price for single-family homes increased 3.6 percent to $285,000. Inventory of single-family homes in Williamson County decreased slightly from last year’s 2.4 months of inventory to 2.3 months of inventory in April 2018.

In Leander, April home sales experienced no percentage change from year-over-year, remaining at 97 sales. The median price of single-family homes slightly increased 1.8 percent year-over-year to $280,000. In Cedar Park, April home sales volume decreased 11.9 percent to 89 sales. At the same time, the median price of Cedar Park homes increased 11.2 percent year-over-year to $339,000. Round Rock experienced a surge in sales from last April—30.9 percent—to 178 sales, while the median home price increased 8.1 percent to $275,000.

Hays County

April home sales in Hays County decreased 8.5 percent to 281 home sales compared to the previous year. At the same time, median home price declined 6.8 percent to $247,000. Inventory of single-family homes in Hays County remained unchanged at 2.8 months of inventory from the previous April.

Locally, home sales in Buda dropped 19.6 percent year-over-year to 37 sales, but the median home price increased 14 percent to $285,000. Kyle experienced a double-digit increase in sales—an 11.9 percent increase to 75 sales—compared to the previous April. The median price increased 2.7 percent to $215,500 during the same time frame.

Filed under: Real Estate News by Olga Gilmore

Filed under: Real Estate News by Olga Gilmore

On March 22, the U.S. Census Bureau released the results of its July 2017 yearly population estimates, and what they reveal shows that while Texas continues to be a red-hot destination for newcomers, the Austin-Round Rock area is adding fewer people than in years past.

The bureau analyzed population growth beginning July 1, 2016 through July 1, 2017 throughout the U.S., and then broke the figures down by metro region. In 2017, Austin-Round Rock area dropped in rank among the 10 fastest growing regions in the U.S., going from No. 8 in 2016 to No. 9 this year.

In their report, the bureau notes this drop is due to a drop in “net migration,” which translates “to less people moved here last year than the year before.” In 2017, the Austin area welcomed 55,269 newcomers, a drop from the 58,301 that moved here the year before.

Though it’s a drop of more than 3,000, the population gain was enough to keep Austin-Round Rock at the No. 9 spot among the top 10 largest gaining metro areas. Our Texas neighbors Dallas-Fort-Worth-Arlington and Houston-The Woodlands-Sugar Land took the Nos. 1 and 2 spots in this category, respectively.

Also falling in ranking is nearby Hays County. In 2016, the county took the top spot among fastest growing counties in the U.S. This year, it fell to fourth place.

Despite Austin’s slight decline, the state of Texas is still in demand. Among most populous counties, both Harris (Houston) and Dallas counties rank among the top 10 in the nation and among the largest gaining. And when it comes to fastest growing counties, Comal, Hays, and Kendall make up three of the 10 spots, coming in at Nos. 2, 4, and 5, respectively.

Houston and Dallas also appear among the most popular metropolitan areas in the country, too. With a population of 7,399,662 (an increase of almost 145,000 people from 2016), Dallas-Fort-Worth-Arlington comes in at No.4. Not to be outdone, Houston-The Woodlands-Sugar Land comes in right behind in the No, 5 spot, with a population of 6,892,427. The New York City, Los Angeles, and Chicago metro areas took the top three spots, respectively.

Info courtesy of: Katie Friel and the U.S. Census Bureau

Filed under: Austin Events, Real Estate News by Olga Gilmore

The February 2018 Central Texas Housing Market Report showed that while home sales volume across the Austin-Round Rock Metropolitan Statistical Area (MSA) grew in February, areas with the highest market demand and lowest inventory experienced double-digit percent price increases and annual declines in sales activity.

In the Austin-Round Rock MSA, home sales increased 5.7 percent year-over-year in February 2018 to 1,955 sales. The median price of single-family homes increased 3.6 percent to $299,900. Housing inventory remained flat at 2.0 months, the same as last February.

City of Austin

In the city of Austin, the median price for single-family homes increased 12.2 percent to $367,701 year-over-year in February. Single-family home sales decreased 6.7 percent from the same period last year to 599 sales. Inventory decreased from 1.4 months of inventory in February 2017 to 1.3 months of inventory this year.

Williamson County

Williamson County experienced a double-digit increase in sales volume, while median price growth remained relatively flat. Single family home sales increased 13.1 percent year-over-year to 689 sales in February 2018, and the median price increased 1.1 percent to $275,000. Overall, housing inventory of single-family homes in Williamson County increased slightly to 2.0 months of inventory, compared to 1.9 months of inventory in February 2017.

In Cedar Park, February sales decreased 6.8 percent to 69 sales, while the median price of single-family homes increased 12.5 percent to $329,000. In Leander, where there’s a greater supply of new homes, February sales increased 13.9 percent to 82 sales, and the median price of single-family homes decreased 6.6 percent to $269,900. Round Rock experienced a subtle increase in sales–2.8 percent from last February to 109 sales; median home prices increased 6 percent to $263,840.

Hays County

Hays County also showed a significant increase in home sales. February sales increased 12.1 percent to 222 sales compared to the previous year, and the median home price increased 6.7 percent to $255,000. Across the county, housing inventory decreased to 2.2 months of inventory, compared to 2.5 months of inventory the previous year.

Sales in Buda decreased 3.5 percent year-over-year to 28 sales, and the median home price remained unchanged at $279,900. Kyle experienced a significant increase in sales—a 21.2 percent increase to 63 sales—compared to the previous February. The median price increased slightly 2.8 percent to $213,000.

Filed under: Real Estate News by Olga Gilmore