Eleven Oaks Realty is proud to present their March 2016 Austin Real Estate Price Report measuring activity in the Austin single family home market.
Austin Median Home Price Up 8%
The biggest story in this month’s Austin Real Estate Price Report comes by way of median home prices. For the 19th month in a row, the median price of a home in Austin outpaced the previous year. The median price of an Austin home in March 2015 was $325,000 compared to $350,000 in March 2016, marking an 8% increase in year over year numbers.
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? With 19 straight months of price increases, it doesn’t look like we’re going to see a pricing slow down any time soon. If you want to buy a home in Austin, start the home buying process as early in the Spring as you can. The longer you wait, the more competition you’ll face. If you are persistent and diligent with your search, you will be successful.
What does this mean to sellers? If you’re thinking of selling, you should be pleased to see competitive buyers continue to strengthen the Austin real estate market. But, even though prices are going up, that doesn’t mean you just pop a sign in your yard today and cash a big check tomorrow. The most successful sellers spend some time preparing their homes to sell. Work with a Realtor to help you make smart improvements and maximize the return on the dollars you spend preparing your home to meet its next owner.
Time to Sell Home in Austin Down 6%
In March 2016, it took 35 days to sell a home in Austin, on average, compared to 37 days in March 2015, marking an 6% (2 day) decrease in year over year numbers. As we head deeper into the busy Spring market, I would expect time to sell to decrease. If you find a house that meets your criteria, don’t wait to make an offer. You might lose the house.
Number of Homes Taken Off the Market Up 36%
In March 2016, there were 186 homes taken off the market compared to 137 in March 2015. This marked a 36% (49 home) increase in year over year numbers. The increase in homes taken off the market is a trend we’ve seen in Austin for some time. Typically we see sellers sticking it out through Spring, so this significant increase in homes taken off the market again in March is a bit surprising. Could be they are only taking their homes off the market temporarily and will re-list in April.
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 Up 5%
In March 2016, Austin saw a 5% increase in the number of homes sold from March 2015 to March 2016. In March 2016, we saw 952 homes sell in Austin compared to 906 in March 2015 marking a 5% (46 home) increase in year over year numbers. It seems buyers are coming out a little earlier this year than last.
Austin Housing Inventory Up 8%
In March 2016, we saw 1.9 months of inventory on the market, compared to 1.7 months of inventory in March 2015, marking an 8% increase in year over year numbers. Though we saw a slight increase from last year’s numbers, we are still dipping into extreme seller’s market inventory levels city wide.
Austin Homes Under Contract Down 1%
In March 2016, 1,116 homes went pending (under contract) in Austin compared to 1,125 in March 2015, marking a 1% (9 home) increase in year over year numbers.
6% Increase in Number of Homes on the Market
In March 2016, we had 3,384 homes for sale in Austin, compared to 3,199 in March 2015, showing a 6% (185 home) increase in year over year numbers. With this slight increase in inventory, buyers will probably feel they have more choices than buyers last year.
Number of Homes Listed for Sale Up 10%
In March 2016, we saw 1,479 homes introduced to the market compared to 1,349 in March 2015, marking a 10% (130 home) increase. Sellers are coming out stronger, earlier in the season than they were last year. It will be interesting to see if this increase continues through the Spring or if sellers are simply listing earlier this year.
Supply Up 6% and Demand is Up 5%
This month we saw a 6% increase in supply (number of properties for sale) and a 5% increase in demand (number of sold properties). In March we seemed to see a proportional increase in supply and demand. It will be interesting to see how the supply/demand curve shakes up next month.
Median for Sale Up 6% vs Median Sold Price Up 8%
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 an 8% increase in the median sold price of a single family home in year over year numbers. Again this month buyers are being pretty aggressive with offers.
Source: Clarus Market Metrics, ACTRIS Sold Data
March 2016 Austin Real Estate Price Report – Strictly Numbers
For those of you who prefer to see the actual numbers, we’ve included the figures for March 2016 Austin home sales below. The most expensive home that sold in March 2016 sold for $4,450,000 and the least expensive home sold for $90,000. Homes ranged in size from 600 sqft – 12,264 sqft with an average size of 2,248 sqft. The average price per square foot for a home that sold in Austin in March 2016 was $202.60 with the lowest being $75.13/sqft and the highest being $756.76/sqft. It took, on average, 41 days to sell a home in Austin and sellers received, on average, 97.67% of their original list prices.
|Beds||Baths||SqFt||List Price||LP/SqFt||Sold Price||SP/SqFt||SP/LP||SP/OLP||ADOM|
|Status||Sold||Sold Date||March 2016|
|Property Type||Single Family Homes||Number Sold||957|
|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 buy. Supply is up slightly compared to demand, which in balanced markets, wouldn’t be too much of an advantage. But, in the extremely busy Austin real estate market, buyers need to take advantage of even slight market forces that favor them. It won’t be long until we are deep into the busy Spring market. Buyers who diligently pursue their home search, scout homes as soon as they are listed and are decisive with making offers will be in homes before their friend start their search.
If you haven’t started your home search, get started now. Waiting until later in Spring might give you more choices, but you’ll have to be more competitive to be successful. If this Spring is like the last three, expect multiple offers and overbids. Starting your search now during the start of the busy season is a great way to get the best of both worlds – choices and less competition. If you’re looking to buy, we can help you be successful, even in this competitive market. 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.
If you need to sell, we’re about to enter the best time of year to do so. Spring has historically brought sellers more money than any other time of year. As more buyers enter the market, they’ll have to be more competitive in their offers to be successful. Time to sell is down and inventory is at extreme seller’s market levels. Spend a little extra time preparing your home to sell so it really stands out as a value when it hits the market.
If you’re a seller who needs to sell, work with a professional Realtor who can help you position your home as the best value on the market. There are still highly motivated buyers in the market who are ready to make stronger offers than they were last year. With 1.9 months of inventory, we are in a strong seller’s 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.
Curious How Much You Could Sell Your Austin Home For?
Our Market Snapshot Tool is for you. With just your zip code, we’ll email you a detailed report showing what homes in your neighborhood sold for, how long it took to sell and how the market is trending. Though our Austin Real Estate Price Report is helpful in gauging the overall trend of the market, it doesn’t address neighborhoods specifically. If you’re looking for that type of report, put in your name and zip code below and our system will email you a Neighborhood Market Report.
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.