Eleven Oaks Realty is proud to present their May 2016 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 May 2016.
Austin Multi Family Properties Under Contract Up 30%
In May 2016, 43 multi-family properties went pending (under contract) in Austin compared to 33 in May 2015, marking a 30% increase in year over year numbers.
Austin Median Multi Family Property Median Price Up 7%
The median home price of a multi-family property in Austin in May 2015 was $322,500 compared to $345,500 in May 2016, marking a 7% increase in year over year numbers.
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.
16% Decrease in Austin Multi Family Property Inventory
In May 2016, we saw 1.7 months of inventory on the market, compared to 2.0 months of inventory in May 2015, showing a 16% decrease in year over year numbers. With less than 2 months of inventory, the Austin multi-family property market is an extreme seller’s market.
Time to Sell Multi Family Property in Austin Down 2%
In May 2016, it took 25 days to sell a multi family property in Austin, on average, compared to 25 days in May 2015, marking a 2% (0 day) decrease in year over year numbers.
Number of Multi Family Properties Taken Off the Market Up 100%
In May 2015, there were 5 multi family properties taken off the market compared to 10 in May 2016, marking a 100% (5 property) increase city wide. This year we’ve seen an increase in properties taken off the market in all segments of the Austin real estate market.
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 Saw No Change
In May 2016, Austin saw no change in the number of multi family properties sold from May 2015 to May 2016. In May 2016, we saw 34 multi family properties sell in Austin compared to 34 in May 2015 marking no change in year over year numbers.
Number of Multi Family Properties on the Market Up 20%
In May 2016, we had 124 multi-family properties for sale in Austin, compared to 103 in May 2015, showing a 20% (21 property) increase in year over year numbers.
Number of Multi Family Properties Listed for Sale Up 27%
In May 2016, we saw 47 multi family properties introduced to the market compared to 37 in May 2015, marking a 27% (10 property) increase. This year, it seems more multi-family property owners are looking to unload their properties.
Supply Up 20% and Demand Saw No Change
This month we saw a 20% increase in supply (number of properties for sale) and no change in demand (number of sold properties). With more supply and no change in demand, buyers might have an opportunity to negotiate a better deal if they act quickly.
Median for Sale Up 31% 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 31% increase in the median for sale price and a 7% increase in the median sold price of a multi family property in year over year numbers.
Source: Clarus Market Metrics, ACTRIS Sold Data
May 2016 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 May 2016 Austin multi family sales below. The most expensive property that sold in May 2016 sold for $970,000 and the least expensive multi family property sold for $202,000. Multi family properties ranged in size from 1,449 sqft – 4,543 sqft with an average size of 2,591 sqft. The average price per square foot for a multi family property that sold in Austin in May 2016 was $163.69 with the lowest being $72.20/sqft and the highest being $421.56/sqft. It took, on average, 24 days to sell a multi family property in Austin and sellers received, on average, 98.05% 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||May 2016|
|Property Type||Multi Family||Number Sold||36|
|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! Supply is up 20% and demand saw no change, giving buyers more choices than they’ve had in the past several months. As we see more inventory come online, it will be interesting to see it more buyers flood the market, or if they wait it out. If you’re looking to own a multi-family property, start your search now, before competition increases. You’ll want to be proactive in your search and decisive when you find a property that meets your criteria. Take advantage of the increase in inventory and you just might be able to negotiate a better deal now. If you’re looking to get the best deal, set alerts for new listings and scout them as soon as possible. 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’re wanting to sell your multi-family property in Austin, that is not the worst time to do that either. With only 1.7 months of inventory, the Austin multi-family property market is still a seller’s market. Though demand has not increased, the buyers in the market are willing to pay 7% more than they were last year, showing there are still strong buyers ready to make competitive offers. Prepare your property to meet the market and you’ll have no trouble finding a buyer willing to pay top dollar.
– Also read: How to sell my Houston home now?
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. We are entering the busiest time of year. 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.