Eleven Oaks Realty is proud to present their July 2019 Austin Real Estate Price Report measuring activity in the Austin single family home market.
Austin Median Home Price Up 6%
The biggest story this month: median home prices in Austin up again this month. We sound like a broken record, but month after month, the median price in Austin increases. The median price of an Austin home in July 2018 was $406,500 compared to $430,000 in July 2019, up 6% ($23,500) in year over year numbers. Yet again, we’re seeing an increase in Austin median housing prices. Though only a few percent, we are seeing a consistent rise in Austin home prices.
Median home price helps us see the distribution of homes sold and does not really give us an indication of the increase or decrease in a particular home’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 Home Values Report.
What does this mean to buyers? Prices have steadily increased again this month and again this month we are seeing a decrease in both supply and demand. As we’ve been saying, if you’re waiting for prices to trend down, you might be waiting a while. We’ve seen years of price increases and they haven’t slowed yet. High paying jobs in a multitude of industries and people moving from more expensive areas have caused prices to continually climb. If you’re thinking of buying, I would recommend getting your ducks in a row and starting your search as soon as possible. If history is any predictor, waiting for prices to drop only costs buyers more money.
What does this mean to sellers? Even though demand is down, supply is down more, so we are still in an extreme seller’s market. Though buyers aren’t coming out in numbers they were last year, they are still willing to pay more and are taking less time to make decisions. And, buyers who haven’t found anything yet are getting antsy to find something. So, they’ll be ready to make a decision even faster.
18% Decrease in Time to Sell Home in Austin
In July 2019, it took 33 days to sell a home in Austin, on average, compared to 40 days in July 2018, marking an 18% (7 home) decrease in year over year numbers. This year’s buyers are less hesitant to pull the trigger. Though we are seeing fewer sales, we are seeing a quicker selling rate, which tells me the buyers in the market are serious buyers. We just aren’t seeing as many of them as we did last year.
Number of Homes Taken Off the Market Saw No Change
In July 2019, there were 266 homes taken off the market compared to 266 in July 2018. This marked no change in year over year numbers. We saw an increase in homes taken off the market from June to July, which is what we would expect as we get closer to the end of summer. Again, more evidence that even though Austin is a strong market, it is still a price sensitive market. Buyers will simply wait if they don’t see the property as a value.
If you need to sell and your home was priced right, maybe there was something else going on. The biggest culprits we see are incorrect info in the MLS and poor marketing. Check out our Austin Home Marketing Plan to see how your homes would be marketed.
Having trouble selling your home? Check out our Austin Home Not Selling resources page to find out why.
Number of Sold Homes in Austin Down 7%
Austin saw a 7% decrease in the number of homes sold from July 2018 to July 2019. In July 2019, we saw 1,165 homes sell in Austin compared to 1,246 in July 2018 marking a 7% (81 home) decrease in year over year numbers. Though we are seeing consistent rising prices, we aren’t seeing buyers out in the numbers they were last year. Could be that increasing prices have caused some semi-serious buyers to take their time with their search. Or, we just have fewer buyers in the market. It will be interesting to see what next years numbers bring.
19% Decrease in Austin Housing Inventory
In July 2019, we saw 2.0 months of inventory on the market, compared to 2.5 months of inventory in July 2018, showing a 19% decrease in year over year numbers. Again this month, we saw fewer sales, but also an increase in inventory. With fewer new listings and more expired listings, inventory is inching down to extreme seller’s market levels.
Austin Homes Under Contract Up 5%
In July 2019, 1,171 homes went pending (under contract) in Austin compared to 1,117 in July 2018, marking a 5% (54 home) increase in year over year numbers. We are starting to see the signs of the busy season winding down, having a steady decrease in sales since the peak in April 2019. But, this year we’re seeing a few more homes go under contract in July than last year. It will be interesting to see if next month sees a drop in sales or not.
9% Decrease in Number of Homes on the Market
In July 2019, we had 3,812 homes for sale in Austin, compared to 4,172 in July 2018, showing a 9% (360 home) decrease in year over year numbers.
2% Increase in Number of Homes Listed for Sale
In July 2019, we saw 1,396 homes introduced to the market compared to 1,373 in July 2018, marking a 2% (23 home) increase in year over year numbers. Even though we are seeing a slight increase in new listings, we are still in a strong seller’s market.
Supply Down 9% and Demand Down 7%
This month we saw a 9% decrease in supply (number of properties for sale) and a 7% decrease in demand (number of sold properties).
Median for Sale Up 6% vs Median Sold Price Up 6%
This chart compares the Median for Sale Price vs the Median Sold Price to show their relationship. In Austin, we saw a 6% increase in the median for sale price and a 6% increase in the median sold price of a single family home in year over year numbers.
Source: Clarus Market Metrics, ACTRIS Sold Data
July 2019 Austin Real Estate Price Report – Strictly Numbers
For those of you who prefer to see the actual numbers, we’ve included the figures for July 2019 Austin home sales below. The most expensive home that sold in July 2019 sold for $4,080,000 and the least expensive home sold for $105,000. Homes ranged in size from 306 sqft – 11,446 sqft with an average size of 2,310 sqft. The average price per square foot for a home that sold in Austin in July 2019 was $239 with the lowest being $64.02/sqft and the highest being $975.75/sqft. It took, on average, 29 days to sell a home in Austin and sellers received, on average, 98.15% of their original list prices.
|Beds||Baths||SqFt||List Price||LP/SqFt||Sold Price||SP/SqFt||SP/LP||SP/OLP||ADOM|
|Property Type||Single Family Homes||Number Sold||1,177|
|Source:||ABoR Sales Data||Area||Austin|
Time to Buy? Sell?
As we always say, the best time to buy or sell a home is when you need to buy or sell. If you have a house to buy, buying when its a sellers market may hurt you on the buying end, but you’ll make it up on the selling end. If you’re trying to get into the market for the first time, the only way you’ll know that we’ve “hit bottom” is when its in the rear view mirror. Work with professionals who can help you analyze your financial and lifestyle to determine if now is the right time to buy or sell.
Looking strictly at the numbers, it appears the recommendation for this month is – it’s time to sell. Though demand is down, supply is down more so we are still in an extreme seller’s market. With two months of inventory, fewer new listings coming online and more homes being taken off the market, buyers are having to make concessions or pay more for properties that meet their needs. We are seeing some frustrated buyers who haven’t found what they’re looking for yet. Give them some additional choices and you might just find a buyer that’s ready to move quickly.
If you’re a seller who needs to sell now, work with a professional Realtor who can help you position your home as the best value on the market. Though we aren’t seeing as much activity, median price is still healthy, showing there are still highly motivated buyers in the market. 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. For more info about our Home Selling Program and why it is the best in Austin, check out Sell My Austin Home.
If you’re looking to buy, know that there are fewer buyers in the market this year than last year. That could make the other buyers a little more complacent. If you have listing alerts set and scope out new listings as soon as they’re listed, you’ll beat other buyers to the best homes. And, if you’re ready to act, you can make an offer before the competition has time to see it. Remember, even though there are fewer buyers, the best homes are still selling quickly. You’ll want to give yourself ample time to make a decision. Get your search set up and start looking at new listings now. If you’re looking to buy, we can help you be successful. We know the market and know how to get the best deal for a buyer. For more info about buying a home, visit Buy a Home in Austin.
Questions About the Austin Real Estate Price Report?
Do you have questions about this Austin 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.