Eleven Oaks Realty is proud to present their August 2021 Austin Multi Family Real Estate Price Report measuring activity in the Austin multi family market. This report includes all multi family properties (duplex, triplex and quadplex) that sold in August 2021.
Austin Multi Family Properties Under Contract Up 66%
In August 2021, 63 multi-family properties went pending (under contract) in Austin compared to 38 in August 2020, showing a 66% (25 property) increase in year over year numbers. Last month we had a surge of multi family property owners who wanted to cash out on the market and buyers took advantage.
Austin Multi Family Property Median Price Up 45%
The median home price of a multi-family property in Austin in August 2021 was $615,750 compared to $425,000 in August 2020, marking a 45% ($190,750) increase in year over year numbers.
Median home price helps us see the distribution of multi-family properties sold and does not really give us an indication of the increase or decrease in a particular property’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 Property Values Report.
9% Decrease in Austin Multi Family Property Inventory
In August 2021, we saw 1.2 months of inventory on the market, compared to 1.3 months of inventory in August 2020, showing a 9% (0.1 month) decrease in year over year numbers. With the increase in multi family properties under contract, we saw a significant decrease from last month’s inventory numbers.
Time to Sell Multi Family Property in Austin Up 20%
In August 2021, it took 16 days to sell a multi family property in Austin, on average, compared to 13 days in August 2020, marking a 20% (3 day) increase in year over year numbers. The median time to sell a multi-family home in Austin in August 2021 was 10 days, which is much more representative on how long buyers actually have to make a decision.
Number of Multi Family Properties Taken Off the Market Saw a 13% Increase
In August 2020, there were 17 multi family properties taken off the market compared to 15 in August 2021, marking a 13% (2 property) increase in year over year numbers. This isn’t surprising in the multi family market. Some investors are looking to cash in if they can get a windfall and hold tight if not. When they discover they can’t, they take their properties off the market and continue to collect rent rather than lowering the price.
If your Austin multi family property was priced right but it still didn’t find a buyer, maybe there was something else going on. The biggest culprits we see are incorrect info in the MLS, inaccessibility and poor marketing. Check out our Austin Property Marketing Plan to see how your homes would be marketed if we listed them. If you’d like our opinion on why your property didn’t sell email us at info@11OaksRealty.com.
Having trouble selling your property? Check out our Austin Property Not Selling resources page to find out why.
Number of Sold Multi Family Properties in Austin Up 70%
In August 2021, Austin saw a 70% increase in the number of multi family properties sold in year over year numbers. In August 2021 there were 46 multi family properties that sold versus 27 in August 2020, marking a 70% (19 property) increase in year over year numbers. With more inventory listed on the market, we were able to realize some of the pent up demand and see more property sales.
Number of Multi Family Properties on the Market Up 51%
In August 2021, we had 157 multi-family properties for sale in Austin, compared to 104 in August 2020, showing a 51% (53 property) increase in year over year numbers. With median prices up significantly, multi family property owners are trying to take advantage of the market and cash out.
90% Increase in the Number of Multi Family Properties Listed for Sale
In August 2021, we saw 76 multi family properties introduced to the market compared to 40 in August 2020, showing a 90% (36 property) increase in year over year numbers. It seems more investors are confident they can get what they’re asking for and are listing their multi-family properties for sale.
Supply Up 51% and Demand Up 70%
This month we saw a 51% increase in supply (number of properties for sale) and a 70% increase in demand (number of sold properties).
Median for Sale Up 20% vs Median Sold Price Up 45%
This chart compares the Median for Sale Price vs the Median Sold Price to show their relationship. In Austin, we saw a 20% increase in the median for sale price and a 45% increase in the median sold price of a multi family property in year over year numbers. The median for sale price of a multi-family property in Austin went from $552,000 in August 2020 to $659,900 in August 2021, showing a 20% ($107,900) increase. The median sold price of a multi-family property in Austin went from $425,000 in August 2020 to $615,750 in August 2021, showing a 45% ($190,750) increase.
Source: Clarus Market Metrics, ACTRIS Sold Data
August 2021 Austin Multi Family Real Estate Price Report – Strictly Numbers
For those of you who prefer to see the actual numbers, we’ve included the figures for August 2021 Austin multi family sales below. The most expensive property that sold in August 2021 sold for $2,850,000 and the least expensive multi family property sold for $238,500. Multi family properties ranged in size from 1,174 sqft – 6,246 sqft with an average size of 2,625 sqft. The average price per square foot for a multi family property that sold in Austin in August 2021 was $311.02 with the lowest being $139.39/sqft and the highest being $813.46/sqft. It took, on average, 23 days to sell a multi family property in Austin and sellers received, on average, 97.59% of their original list prices.
|||Unit Count||SqFt||List Price||LP/SqFt||Sold Price||SP/SqFt||SP/LP||SP/OLP||ADOM|
|Status||Sold||Sold Date||September 2021|
|Property Type||Multi Family||Number Sold||46|
|Source:||ABoR Sales Data||Area||Austin|
Time to Buy? Sell?
Looking strictly at the numbers, it appears the recommendation for this month is – it’s time to sell. With inventory at 1.2 months, we are in extreme seller’s market territory. Combine that with a 51% increase in supply and a 70% increase in demand, we have more buyers than sellers in the market. And, with median price up 45%, buyers are willing to pay more this year than they were last year.
Looking to sell? If you want top dollar for your multi family property, make it stand out as a value. When buyers are excited about the potential of your property, they’re willing to pay more. If your multi-family property is located in a desirable area or good school district, you’re in an even better position as those are very hard to find. Spend some time preparing the property to meet the market and hire a Realtor who knows how to market multi-family properties. If you’re considering selling, work with a Realtor who has strategies to help you get top dollar for your home. 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. We are entering the busiest time of year. Do what you can to prepare your home now and you’ll be ready at the perfect time. For more info about our Home Selling Program, check out Selling in Austin.
If you’re looking to buy, set alerts for new listings and scout them as soon as possible. Hire a Realtor who knows the multi family real estate market and has strategies for getting your offers accepted without increasing your offer price. Our team not only knows the market, but we also own several multi-family properties that have no trouble finding tenants. We can help you identify which properties will be the highest netting. Put our knowledge and experience to work for you and we’ll help you make money on your rental. For more info about buying a multi-family property, visit Buying in Austin.
Questions About the Austin Multi Family Real Estate Price Report?
Do you have questions about this Austin Multi Family 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.