Eleven Oaks Realty is proud to present their April 2023 Austin Real Estate Price Report measuring activity in the single family home market.
The Austin Real Estate Market is Still a Seller’s Market
Despite a slow down in sales, longer time on market and fewer listings to choose from, we are still in a seller’s market according to the numbers. Inventory is up slightly from last month, but still in the seller’s market territory. Sellers are getting 97.8% of their list prices and it’s taking, on average, 31 days to sell a home in Austin. The median sold price is $630,000, which is up 9.57% in month over month comparisons.
What does this mean for sellers? The Austin real estate market is still strong, despite what you’re hearing in the media. Though we have seen a reduction in the number of buyers, buyers are still out there buying homes. They don’t make decisions as quickly as they did in 2021-2022, but they are buying. Buyers are able to negotiate a little bit more than they were able to, but they are still paying more than they were last month. If you’re a seller who can adjust to this new market, you’ll be successful in selling your home.
What does this mean for buyers? Though we are in a seller’s market, we are trending towards a balanced market. Buyers are able to negotiate more favorable deals with motivated sellers. Though they aren’t able to buy at 50% of market value, buyers are able to select the house they want and get it at a fair price. For those of you who were in the market a year or two ago, you know you had to settle for what you won in a bidding war. We are still seeing multiple offers on some houses, but they aren’t going for 20-30% above list regularly, which is a welcome change.
Austin Median Sold Price Down 11%
The median price of a home that sold in Austin in April 2022 was $705,000 compared to $630,000 in April 2023, showing a 10.64% ($75,000) decrease in year over year numbers. In month over month comparisons, we saw a 9.6% increase in the median price compared to March 2023, showing that buyers are willing to pay more to get the house they want compared to last month. The median price of a home in Austin in April 2023 was $630,000 compared to $575,000 in March 2023. Spring has always been the busiest time of year in Austin and with more competition, comes higher prices for sellers. When you compare where we were last year, prices are down. However, they’re still higher than they were at the peak of the market, so most sellers are still in a good position to sell.
30% Decrease in Austin Home Sales
In April 2023, we saw 623 homes sell in Austin compared to 886 in April 2022, showing a 30% decrease in year over year numbers. We are certainly seeing fewer buyers in the market compared to a year ago, but we are also seeing fewer sellers, which is why we aren’t seeing huge price drops. Home sales did also drop 3.9% from March 2023 levels, where we saw 648 homes sell.
9% Decrease in Average List Price to Sales Price
In April 2023, Austin home sellers got 97.83% of their list prices compared to 107.38% in April 2022, marking a 9% decrease in year over year numbers. Month over month showed an 0.6% increase from 97.24% in March 2023. This year buyers are much more able to negotiate with sellers than they were last year, creating a much more normal market despite us still being in seller’s market territory.
77% Increase in Time to Sell an Austin Home
In April 2023, it took 31 days to sell a home in Austin compared to only 8 days in April 2022, showing a 77% increase in time to sell. Last month, in March 2023, it took 51 days to sell and 76 in February 2023, which was the peak that we’ve seen in the past 5 years plus. It will be interesting to see how the numbers trend over the next few months.
Austin Median $/SqFt Down 17%
In April 2023, the median price per square foot for a house in Austin was $327/sqft compared to $392/sqft in April 2022. Looking back at the data, April 2022 was the peak in terms of price per square feet in Austin and we are down 17% from then. When you compare this month’s data to last months, we saw a 5.5% increase in median price per square feet, which is what we’d expect as we head into spring.
33% Decrease in Total Sales Volume of Austin Single Family Homes
In April 2023, we saw $531,278,729 in closed sales compared to $798.06 MM in April 2022, showing a 33% decrease in year over year numbers. When you compare to last month, we did see a 5.7% increase in total sales volume from $502.58 MM.
235% Increase in Austin Months Supply of Inventory
In April 2023, we had 3.72 months of inventory compared to 1.11 months in April 2022, showing a 235% increase in year over year numbers. In March 2023, we had 3.53 months, showing a 5.4% increase. Typically we see a decrease in inventory as we head deeper into spring, so it will be interesting to see what next month’s numbers show.
8% Decrease in Number of Homes that Accepted a Contract
In April 2023, we saw 889 homes accept a contract compared to 962 in April 2022, showing an 8% decrease in year over year numbers. When you compare this month to last month, we saw a 15% increase with 773 Austin homes accepting a contract in March 2023.
Median List Price Up 5% vs Median Sold Price Down 11%
In April 2023, we saw a median list price of $784,990 of active listings compared to $750,000 in April 2022, showing a 5% increase in list price. As we saw on the chart above, the median sold price was $630,000, down 11% in year over year numbers. Though sellers are pricing higher, they are taking less than list price, which is causing the increase in list price and decrease in sold price.
New Listings Saw No Change
In April 2023, we saw 1,186 homes listed for sale, compared to 1,190 in April 2022, showing essentially no change in year over year numbers. In March 2023, we saw 1,124 new listings, showing a 1.7% increase in month over month numbers. We are seeing basically the same number of sellers list their homes for sale over the past two springs, despite them being very different markets. Last year, sellers were hesitant because they weren’t sure if they could find something else. This year, they’re hesitant because interest rates have gone up and they’ll likely have a highly mortgage payment for a similarly priced, or even less expensive, home.
128% Increase in Number of Homes for Sale
In April 2023, we saw 2,159 homes for sale in Austin compared to 946 in April 2022, showing a 128% increase in year over year numbers. In March 2023, we had 2,070 homes for sale in Austin, showing a 4.2% increase in April’s numbers. It seems more sellers are confident in the direction of the market.
April 2023 Austin Real Estate Price Report – Strictly Numbers
For those of you who prefer to see the actual numbers, we’ve included the figures for April 2023 Austin home sales below. The most expensive home that sold in April 2023 sold for $6,900,000 and the least expensive home sold for $180,000. Homes ranged in size from 712 sqft – 10,387 sqft with an average size of 2,234 sqft. The average price per square foot for a home that sold in Austin in April 2023 was $364.14 with the lowest being $137.02/sqft and the highest being $1,271.19/sqft. It took, on average, 45 days to sell a home in Austin and sellers received, on average, 94.88% 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||April 2023|
|Property Type||Single Family Homes||Number Sold||704|
|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 sellers market, we are trending more towards a balanced market. Buyers are able to take a little time to make a decision and negotiate with sellers. Though homes aren’t selling for rock bottom prices, buyers are feeling happier with their home purchases than they were a year ago. They’re able to select the one they want and negotiate with a seller, rather than just making offers over asking on everything that comes up for sale, hoping they get one.
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.
If you need to sell, don’t be discouraged. Know it’s going to take a little more time, but also know that if you stick it out, you’ll be successful. 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.
Questions About the April 2023 Austin Real Estate Price Report?
Do you have questions about our April 2023 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.