Eleven Oaks Realty is proud to present their September 2016 Austin Real Estate Price Report measuring activity in the Austin single family home market.
Austin Median Home Price Up 9%
The biggest story in this month’s Austin Real Estate Price Report comes by way of median home prices. For the 25th month in a row, the median price of a home in Austin outpaced the previous year. The median price of an Austin home in September 2015 was $329,400 compared to $357,500 in September 2016, marking a 9% 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? Even though we have seen a slight decrease in activity, prices haven’t yet softened. The buyers in the market are making strong offers and not having too much success negotiating better deals. If you’re a buyer looking to buy a home in Austin, it doesn’t appear waiting is a good strategy. Prices have been going up and it doesn’t look like it will be slowing down any time soon. If you’re looking to buy, Fall and Winter have historically been the best time for buyers. Start your search now, so you’ll find something before the Spring market heats up.
What does this mean to sellers? If you’re thinking of selling, don’t let the increased inventory scare you off. Buyers are still willing to pay more than they were last year. Take some time to prepare your home to meet its new owners and you’ll be happy you did. 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.
No Change in Time to Sell Home in Austin
In September 2016, it took 44 days to sell a home in Austin, on average, compared to 44 days in September 2015, marking no change in year over year numbers.
Number of Homes Taken Off the Market Up 19%
In September 2016, there were 384 homes taken off the market compared to 323 in September 2015. This marked a 19% (61 home) increase in year over year numbers. This increase in the number of homes taken off the market is a trend we have seen for the past several months now. Even though we are seeing a strong market, it is still a price sensitive market. If homes are overpriced, they aren’t selling.
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.
7% Decrease in the Number of Sold Homes in Austin
In September 2016, Austin saw a 7% decrease in the number of homes sold from September 2015 to September 2016. In September 2016, we saw 907 homes sell in Austin compared to 979 in September 2015 marking a 7% (72 home) decrease in year over year numbers.
Austin Housing Inventory Up 8%
In September 2016, we saw 3.1 months of inventory on the market, compared to 2.8 months of inventory in September 2015, marking an 8% increase in year over year numbers. With more inventory, we would expect prices to soften. However, that doesn’t seem to be the case.
Austin Homes Under Contract Down 4%
In September 2016, 870 homes went pending (under contract) in Austin compared to 902 in September 2015, marking a 4% (32 home) decrease in year over year numbers.
4% Increase in Number of Homes on the Market
In September 2016, we had 3,909 homes for sale in Austin, compared to 3,769 in September 2015, showing a 4% (140 home) increase in year over year numbers. It seems sellers are seeing the increase in prices and are confident they can get their homes sold, even during this traditionally slower time of year.
Number of Homes Listed for Sale Up 9%
In September 2016, we saw 1,222 homes introduced to the market compared to 1,117 in September 2015, marking a 9% (105 home) increase. With more homes listed for sale, buyers will have more choices this Fall.
Supply Up 4% and Demand is Down 7%
This month we saw a 4% increase in supply (number of properties for sale) and a 7% decrease in demand (number of sold properties).
Median for Sale Up 5% vs Median Sold Price Up 9%
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 9% increase in the median sold price of a single family home in year over year numbers. It seems buyers are still willing to pay more for homes they feel are a value.
Source: Clarus Market Metrics, ACTRIS Sold Data
September 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 September 2016 Austin home sales below. The most expensive home that sold in September 2016 sold for $4,300,000 and the least expensive home sold for $96,000. Homes ranged in size from 572 sqft – 13,329 sqft with an average size of 2,245 sqft. The average price per square foot for a home that sold in Austin in September 2016 was $200.24 with the lowest being $70.14/sqft and the highest being $611.89/sqft. It took, on average, 42 days to sell a home in Austin and sellers received, on average, 98.13% of their original list prices.
| Beds | Baths | SqFt | List Price | LP/SqFt | Sold Price | SP/SqFt | SP/LP | SP/OLP | ADOM | |
|---|---|---|---|---|---|---|---|---|---|---|
| Min | 1 | 1 | 572 | $96,000 | $69.40 | $118,384 | $70.14 | 45.04% | 45.04% | 0 |
| Max | 7 | 11 | 13,329 | $5,950,000 | $648.05 | $4,300,000 | $611.89 | 123.32% | 123.32% | 712 |
| Avg | 3 | 3 | 2,245 | $454,248 | $204.87 | $438,966 | $200.24 | 98.12% | 98.13% | 42 |
| Median | 3 | 3 | 2,060 | $363,254 | $175.15 | $357,250 | $172.04 | 98.74% | 98.74% | 22 |
| Search Criteria | |||
|---|---|---|---|
| Status | Sold | Sold Date | September 2016 |
| Property Type | Single Family Homes | Number Sold | 912 |
| 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. If next month is like this month, sellers still have some time to get their homes on the market before the historically slower, Winter months. With median prices up 9% and time to sell remaining constant, sellers are in a stable position. But, they should act quickly. Winter generally slows the market and the competitive edge shifts towards buyers.
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 3.1 months of inventory, we are still in a 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.
Buyers might want to hold tight. Though inventory is up and demand is down, we would expect the trend to continue as we head into Winter. Buyers will start getting better deals at the end of October and even better deals in November and December. Use this time to prepare to buy. Get pre-approved by a local mortgage lender. Start researching neighborhoods and learning which would be the best fit for you. Then, start taking a look at homes. This way when you are ready to buy, you have seen enough homes where you’ll know the right one when it comes up. 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.
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.
Leave a Reply