Eleven Oaks Realty is proud to present their November 2022 Austin Real Estate Price Report measuring activity in the single family home market.
Austin Median Home Price Down 1%
The biggest story this month: median home prices in Austin around about the same as they were this time last year. Though the stats say “down”, 1% is not statically significant. But, it still remains very interesting that prices are essentially what they were last year despite fewer sales, higher interest rates and inflation. This is a testament to how strong the Austin market is. The median price of an Austin home in November 2021 was $595,000 compared to $588,500 in November 2022, down 1% ($6,500) 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? Prices might be starting to ease up. If this trend doesn’t continue, at least we aren’t seeing huge increases from last year’s already high numbers. The market is trending more towards a balanced market and might get into a buyers market by the end of the winter. Buyers have more choices and are able to negotiate more than they have been in the past several months. Buyers who buy now might have a chance of actually liking their house versus just settling for the one they won in a bidding war. If you’re looking to buy in Austin, we haven’t seen a better time in years in terms of market forces that favor buyers.
What does this mean to sellers? Even though rates are up, buyers are still in the market. And they’re still willing to pay what they were willing to pay last year. The media tells us the market is falling and prices are crashing. But, the data shows us prices are hovering around the same level they were last year. Homes are selling, just not at the same rate as they were last year and it is taking them a little longer. If you’re looking to sell, be patient and know you only need one buyer, not 20.
135% Increase in Time to Sell Home in Austin
In November 2022, it took 55 days to sell a home in Austin, on average, compared to 24 days in November 2021, marking a 135% (32 day) increase in year over year numbers. The median time to sell is 35 days, which is an 8 day increase from last month. It is no doubt taking longer for Austin homes to sell. But despite that, buyers are still willing to pay what they were willing to pay last year.
Number of Homes Taken Off the Market Saw a 242% Increase
In November 2022, there were 485 homes taken off the market compared to 142 in November 2021. This marked a 242% (343 home) increase in year over year numbers. When their homes don’t sell quickly, sellers are getting spooked and taking them off the market. Given how long it is taking homes to sell, I feel sellers are taking their homes off prematurely. That being said, this reduction in inventory is likely what’s keeping prices where they are.
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 Saw a 51% Decrease
Austin saw a 51% decrease in the number of homes sold comparing November 2021 to November 2022. In November 2022, we saw 488 homes sell in Austin compared to 1,003 in November 2021 marking a 51% (515 home) decrease in year over year numbers. The market has certainly slowed in the past few months.
340% Increase in Austin Housing Inventory
In November 2022, we saw 4.3 months of inventory on the market, compared to 1.0 month of inventory in November 2021, showing a 340% (3.4 month) increase in year over year numbers. We continue to trend towards a more balanced market. We are seeing less inventory than we saw last month and that is more likely due to sellers deciding to take their homes off the market for the holidays. It will be interesting to see what happens in December and January.
Austin Homes Under Contract Saw a 45% Decrease
In November 2022, 520 homes went pending (under contract) in Austin compared to 938 in November 2021, marking a 45% (418 home) decrease in year over year numbers.
63% Increase in Number of Homes on the Market
In November 2022, we had 3,262 homes for sale in Austin, compared to 2,006 in November 2021, showing a 63% (1,256 home) increase in year over year numbers. Buyers now have choices, something they haven’t had in years of shopping on the Austin real estate market.
23% Decrease in Number of Homes Listed for Sale
In November 2022, we saw 617 homes introduced to the market compared to 798 in November 2021, marking a 23% (181 home) decrease in year over year numbers.
Supply Up 63% and Demand Down 51%
This month we saw a 63% increase in supply (number of properties for sale) and a 51% decrease in demand (number of sold properties). This increase in supply and decrease in demand is what’s giving buyers the relief they so desperately needed.
Median for Sale Up 5% vs Median Sold Price Down 1%
This chart compares the Median for Sale Price vs the Median Sold Price to show their relationship. In Austin, we saw a 5% increase in the median for sale price and a 1% decrease in the median sold price of single family homes in year over year numbers. The median price of a for sale home in November 2021 was $620,700 compared to $650,000 in November 2022. The median sold price of a home in November 2021 was $595,000 compared to $588,500 in November 2022.
Source: Clarus Market Metrics, ACTRIS Sold Data
November 2022 Austin Real Estate Price Report – Strictly Numbers
For those of you who prefer to see the actual numbers, we’ve included the figures for November 2022 Austin home sales below. The most expensive home that sold in November 2022 sold for $5,950,000 and the least expensive home sold for $150,000. Homes ranged in size from 648 sqft – 11,581 sqft with an average size of 2,178 sqft. The average price per square foot for a home that sold in Austin in November 2022 was $360.63 with the lowest being $119.62/sqft and the highest being $2,163.64/sqft. It took, on average, 46 days to sell a home in Austin and sellers received, on average, 89.88% 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||November 2022|
|Property Type||Single Family Homes||Number Sold||487|
|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. Though we are in a more balanced market, we are quickly approaching a buyers market, which is something we haven’t seen in a decade. There are more homes on the market, less competition and sellers who are eager to sell. We are seeing price reductions, homes sit on the market for more than a few days and even homes coming back on the market.
If you need to sell, don’t be discouraged. No, we aren’t seeing 20 offers in 15 minutes, but we are still seeing well qualified buyers looking for a home. Since you can’t sell to 20 buyers anyway, 1 or 2 qualified buyers should be all you need. 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. 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, get with a knowledgeable mortgage broker who can guide you to getting the lowest interest rate possible. We are starting to see the frenzy pause for a minute, as hesitant buyers wonder what to do. Take advantage of lower demand and get in before interest rates rise again. The best homes are still selling quickly, especially since there are fewer overall choices. If you’re looking to buy, we can help you be successful. We have experienced several market shifts in our careers and know how to navigate them. For more info about buying a home, visit Buy a Home in Austin.
Questions About the November 2022 Austin Real Estate Price Report?
Do you have questions about our November 2022 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.
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