In September, the Austin–Round Rock MSA housing market continued to return to normal activity with more available supply and a softer appreciation of home price growth according to the latest Central Texas Housing Market Report released by the Austin Board of REALTORS®. Home sales declined 18.5% to 2,992 closed listings as active listings were up 162.4% to 9,671 listings—the highest number of active listings in the MSA since July 2011.
“Homebuyers have not had this much leverage and this many options in over a decade,” Cord Shiflet, 2022 ABoR president, said. “We’re still in a seller’s market, but as homes take longer to sell and are being bought for less than the original list price on average, and with inventory steadily increasing, right now is a great time to be a homebuyer in Central Texas.”
Last month, sales dollar volume fell by 12.7% to $1,777,575,531 as new listings declined 3.8% to 3,967 listings across the MSA. The median price increased by only 5.6% to $470,000—setting a median price record for the month of September. Pending listings fell by 29.7% to 2,365 listings and available inventory increased by 2.1 months to 3.1 months of inventory, a little more than half the amount of inventory for a market to be considered balanced. Homes spent an average of 40 days on market, up 23 days from September 2021.
Shiflet added that the shifting market has had an impact on both sides of the sales transaction.
“Homebuyers no longer need to move at a frantic pace to find a home. There are more homes to choose from and more time to find a home that works for their needs and budget. However, interest rates are rising, so buyers still need to work with their REALTOR® to get prepared to make an attractive offer by taking steps in advance such as getting pre-approved for financing.”
On the other side of the transaction, sellers must reset their expectations, according to Shiflet.
“Homes are selling at 95% of their original list price. Sellers need to know that the days of multiple offers way over asking price are a thing of the past. REALTORS® have access to real-time, accurate housing market data through the MLS and keep a constant pulse on the optimal list price for a home, making it competitive and desirable for buyers that now have much more leeway in their home search process.”
Shiflet also noted that surrounding Central Texas areas that aren’t necessarily considered major population centers are experiencing strong home sales growth.
“The more outlying areas are gaining in popularity as Bastrop, Caldwell and Hays counties all experienced significant growth in sales activity. As more developments are planned and opened in these areas, buyers will have even more options to find a home that works for them that is still easily accessible to downtown Austin. This is great news for buyers, renters and our economy.”
Read the full original article here.
