Eleven Oaks Realty is proud to present their January 2015 Austin Multi Family Real Estate Price Report measuring activity in the Austin multi family market. This report includes all multi family properties (duplex, triplex and quadplex) that sold in January 2015.
Austin Multi Family Properties Under Contract Down 21%
In January 2015, 34 multi-family properties went pending (under contract) in Austin compared to 43 in January 2014, marking a 21% decrease in year over year numbers. With fewer multi family properties on the market, we’re also seeing fewer sales.
Austin Median Multi Family Property Price Up 7%
The median home price of a multi-family property in Austin in January 2014 was $242,450 compared to $260,000 in January 2015, marking a 7% increase in year over year numbers. Austin rents are predicted to rise 4% in 2015 and I would expect prices of multi family properties to increase as well.
Median home price helps us see the distribution of multi-family properties sold and does not really give us an indication of the increase or decrease in a particular property’s market value. To analyze market value, we’d have to take an in depth look at a neighborhood. If you’re looking for something like that, please check out our Austin Property Values Report.
Austin Multi Family Property Inventory Down 22%
In January 2015, we saw 1.1 months of inventory on the market, compared to 1.5 months of inventory in January 2014, showing a 22% decrease in year over year numbers. The Austin multi family market is currently in the middle of an extreme sellers market.
Time to Sell Multi Family Property in Austin Down 1%
In January 2015, it took 36 days to sell a multi family property in Austin, on average, compared to 36 days in January 2014, marking a 1% (0 day) decrease in year over year numbers.
Number of Multi Family Properties Taken Off the Market Down 30%
In January 2014, there were 10 multi family properties taken off the market compared to 7 in January 2015, marking a 30% (3 property) decrease city wide.
If your Austin multi family property was priced right but it still didn’t find a buyer, maybe there was something else going on. The biggest culprits we see are incorrect info in the MLS, inaccessibility and poor marketing. Check out our Austin Property Marketing Plan to see how your homes would be marketed if we listed them. If you’d like our opinion on why your property didn’t sell email us at info@11OaksRealty.com.
Having trouble selling your property? Check out our Austin Property Not Selling resources page to find out why.
Number of Sold Multi Family Properties in Austin Down 23%
In January 2015, Austin saw a 23% decrease in the number of multi family properties sold from January 2014 to January 2015. In January 2015, we saw 23 multi family properties sell in Austin compared to 30 in January 2014 marking a 23% (7 property) decrease in year over year numbers.
Number of Multi Family Properties on the Market Down 31%
In January 2015, we had 80 multi family properties for sale in Austin, compared to 116 in January 2014, showing a 31% (36 property) decrease in year over year numbers. It seems owners of multi family properties are taking advantage of increasing rents and not wanting to part with their investment.
Number of Multi Family Properties Listed for Sale Up 21%
In January 2015, we saw 46 multi family properties introduced to the market compared to 38 in January 2014, marking a 21% (8 property) increase. Multi family property owners who are looking to cash out are taking advantage of increased prices and decreased supply.
Supply Down 31% and Demand is Down 23%
This month we saw a 31% decrease in supply (number of properties for sale) and a 23% decrease in demand (number of sold properties). Though demand is down, supply is down more, which could create some opportunities for buyers.
Median for Sale Up 30% vs Median Sold Price Up 7%
This chart compares the Median for Sale Price vs the Median Sold Price to show their relationship. In Austin, we saw a 30% increase in the median for sale price and an 7% increase in the median sold price of a multi family property in year over year numbers.
Source: Clarus Market Metrics, ACTRIS Sold Data
January 2015 Austin Multi Family Real Estate Price Report – Strictly Numbers
For those of you who prefer to see the actual numbers, we’ve included the figures for January 2015 Austin multi family sales below. The most expensive property that sold in January 2015 sold for $1,310,000 and the least expensive multi family property sold for $105,000. Multi family properties ranged in size from 1,144 sqft – 4,568 sqft with an average size of 2,260 sqft. The average price per square foot for a multi family property that sold in Austin in January 2015 was $135.49 with the lowest being $54.57/sqft and the highest being $589.03/sqft. It took, on average, 28 days to sell a multi family property in Austin and sellers received, on average, 98.37% of their original list prices.
|Unit Count||SqFt||List Price||LP/SqFt||Sold Price||SP/SqFt||SP/LP||SP/OLP||ADOM|
|Status||Sold||Sold Date||January 2015|
|Property Type||Multi Family||Number Sold||42|
|Source:||ABoR Sales Data||Area||Austin|
Time to Buy? Sell?
Looking strictly at the numbers, it appears the recommendation for this month is – it’s time to buy. Even though there is only 1.1 months of inventory on the market, demand is down and number of new listings are up, which might create some opportunities for buyers. Sellers are responding to increasing rents and are listing their multi family properties for top dollar, but buyers are able to negotiate the prices down in some instances. If you are in the market for a multi-family property, make scouting new listings a priority. Hire a Realtor who knows the multi family real estate market and has strategies for getting your offers accepted without increasing your offer price. Our team not only knows the market, but we also own several multi-family properties that have no trouble finding tenants. We can help you identify which properties will be the highest netting. Put our knowledge and experience to work for you and we’ll help you make money on your rental. For more info about buying a multi-family property, visit Buying in Austin.
If you need to sell, you couldn’t find a better time. With 1.1 months of inventory on the market and median sold price up 7%, sellers who prepare their properties to meet the market will have no trouble finding a buyer. Demand is down, but supply is down more, which has caused an inventory shortage for multi-family properties. If your multi-family property is located in a desirable area or good school district, you’re in an even better position as those are very hard to find. Spend some time preparing the property to meet the market and hire a Realtor who knows how to market multi-family properties. If you’re considering selling, work with a Realtor who has strategies to help you get top dollar for your home. Check out our 88 Ways to Sell Your Home Faster and For More Money for some tips on how you can prepare your home to meet the market. The busiest time of year is just around the corner. Do what you can to prepare your home now and you’ll be ready at the perfect time. For more info about our Home Selling Program, check out Selling in Austin.
Questions About the Austin Multi Family Real Estate Price Report?
Do you have questions about this Austin Multi Family Real Estate Price Report? Call us at (512) 827-8323 or email us at info@11OaksRealty.com and we’ll help you in any way we can. If you’re looking to buy or sell Austin real estate, don’t forget to check out our Buyer Resources and our Seller Resources for more tips.