Real Estate Information

The Austin area median home price is currently $201,700 which is up 31% from 10 years ago. The national median home price is $176,600.

Demand is up 20% month over month for the 19th month in a row. Lease prices are up 11% year over year. Supply is down 23% with only 2.7 months of inventory, the lowest it has been in 12 years. There are 3,500 less units on the market than there were 2 years ago and 1,700 less units than there were 1 year ago.

After a busy real estate summer in Austin, TX we remain at only 4.3 months of inventory! Supply is down 20% over 2011 which equates to about 2058 less home on the market to sell than there were last year. Re-sales are up 20% year to date. These supply and demand scenario has caused the median home price to rise 6% over 2011 to $201,950.

Apartment occupancy rate is at 97.8%, the highest it has been in the past 21 years.

The last 14 months in a row have experienced a rise in demand with a decrease in supply. This is a strong sellers market and with interest rates at 3.75% buyers can afford higher priced homes than in the past. 

June 2012 completes 13 straight months of continued growth in sales and a continued decrease in inventory. Total resale property inventory is down -34% from 2 years ago and down -23% from last year. That equates to approximately 2,500 less homes on the market than there were last year. There is currently 4.5 months of inventory. Demand remains high and shows an increase in sales of 18% over last year. Perhaps the most interesting statistic is that about 1 in 4 homes in Austin are selling within 3 days or less! 

These statistics coupled with all time low interest rates are causing fierce competition for properties in Austin, Texas. Having an experienced Realtor representing you as a buyer is critical to structuring a competitive offer and winning the contract!

AUSTIN, Texas – June 20, 2012 – According to the Multiple Listing Service (MLS) report released today by the Austin Board of REALTORS®, the competition for Austin properties is intensifying as May 2012 became the 12th straight month of sales volume increases and the fourth straight month of price increases for Austin-area homes compared to the same month of the prior year.

Specifically, 2,340 single-family homes were sold in the Austin area in May 2012, which is 25 percent more than May 2011. During the same time period, the median price for Austin-area homes was $215,000, or 10 percent more than the same month in 2011.

Leonard Guerrero, Chairman of the Austin Board of REALTORS®, commented, “The inventory of homes in the Austin area has been shrinking since this time last year while demand has remained strong, outpacing 2011 by double digits each month since last summer. As a result, prices are increasing as buyers compete more aggressively for available properties.”

In May 2012, the market featured 4.4 months of inventory, which was 2.4 months less than May 2011. In addition, the market featured eight percent more new listings, 23 percent fewer active listings and 20 percent more pending sales in May 2012 compared to the prior year. On average, homes spent 62 days on the market in May 2012, which is 19 days less than May 2011.

When comparing the past 10 months of unit sales to the same 10 months in 2011 we have now completed our 10 month of increased sales with March ending at +15%.  So far, this year 4,609 homes have sold in the greater Austin area. Inventory is down 22% which equates to 2,000 less homes on the market this year than there were last year. The current months of inventory stands at 4.5 months for Austin. The national figure is 6.2 months. The median home price for Austin is about $190,000 and represents a 10.5% increase since 2006. The national median home price is down 25% since 2006. 

The Austin real estate market continues to build muscle with unit sales increasing 12% month over month comparing January 2011 with January 2012.  We have seen 8 straight months of increasing unit sales since June 2011 to the present. Inventory is down 20% month over month comparing January 2011 to January 2012. We currently have 4.2 months of inventory in Austin compared to 6.2 months of inventory nation wide. This 4.2 months of inventory is the lowest we have seen since the Austin Board of Realtors began keeping track of this figure.

Local economists predict that Austin will add approximately 45,000 jobs over the next 24 months. The jobless rate is currently 6.3% for 2011 and is expected to drop to 5.6% in 2012. Austin's population is currently 1.8 million and is expected to grow to 2.3 million by the year 2020. 

The median home price in Austin remains at $190,000 with only a slight 2% increase in price since 2010. With demand increasing and inventory decreasing we can expect to see a sharper increase in home prices this year.

The final Austin, Tx real estate numbers are in for 2011 and boy are they impressive! 

Sales are up 6% from 2010 to 2011 !

Supply is down 19% from 2010 to 2011 !

Current months of inventory is at 4.6 months down from 6.4 in 2010 and 7.4 in 2009 !

Austin added 125,000 jobs in 2011 !

Supply of single family homes for lease was 1,465 in 2011 down from 1,964 in 2010 and 2,660 in 2009

which caused a price increase for lease homes to rise 9% !

The Austin, TX real estate market continues to be super HOT with unit sales up for 6 months in a row! This trend is expected to continue into 2012.  There is only 4.6 months of inventory. A number we have not seen since January 2009.  The following figures refer to unit sales (single family, townhouses and condos) month 2010 compared to month 2011:

June +6%   July +33%   Aug +31%   Sept +31%   Oct +21%   Nov +12%

Interest rates are expected to remain low throughout 2012 which means NOW is the time to buy. And NOW is the time to sell to take advantage of the super low inventory where sellers will have little competition but high demand meaning they will get top dollar for their homes!

Thinking about leasing in Austin, TX?  You may need help from a qualified Realtor!

Leasing inventory is down 45% from last year.  The number of lease properties on the market in 2010 was 2,660 as compared to the current 1,466. Those numbers include Homes, Condos, Townhouses and Duplexes.

As the basic rule of "Supply and Demand" plays out, the median price for a rental was $1,100 in 2010 and is now $1,200 reflecting a 2% increase over last year. That increase is expected to rise in the next few months.

You will need a competent Realtor to help you with your search.  One who has access to all lease inventory through subscriptions to MLS, Rentals.com, Smartlocating.com, and other sources to uncover lease opportunities for you and streamline the process.  Stop driving around town looking for "For Lease" signs! remember, all fees are paid by the landlord so services to the tenant are free. 

If you are a landlord and have property that you would like to lease, remember that JB Goodwin Realtors leases 6 days quicker than the average MLS listing. That's 6 more days of rental income in your pocket!

I'm often asked if this is a good time to buy a home. Some clients are concerned that home prices may fall further than they have already. They are assuming that the best course of action is to wait for the bottom in the market and then buy. The problem with this approach is that you don't know where the bottom is until you see it in the rear view mirror, meaning until you've missed it!

Home prices are one factor in determining your cost of ownership, but so are interest rates and financing availability. Interest rates have gone down to an historic low. Since your monthly mortgage payment is a combination of paying down your principal and paying the interest owed, if home prices come down a little further but interest rates go up, it could cost you more to service a mortgage on an identical home!

While a home is a major investment, it is also the center of your personal life. It's important to live in a home that reflects your taste and values, yet is within your financial "comfort zone." To that end, it may be more important to lock in today's extremely low interest rates and low home prices, rather than to hope for a further break in prices in the future.

Please give me a call if I can be of any assistance in determining how much home you can afford in today's market.