Everything You Need to Know About the Austin Housing Market
Posted by Austin Luxury Realty on Thursday, May 30th, 2019 at 1:27pm.
If you’re looking to own or rent a home in Austin, Texas, you have a lot of options. Opportunities exist all over this great city for buyers, sellers, and renters to capitalize on the value of a highly sought after market. With that in mind, there are a number of questions you’ll want to answer before diving in. Let’s take a look at each one in turn.
Is Austin a Real Estate Bubble?
To answer this question, let’s consider the numbers. The housing collapse of 2008 saw American home prices skyrocket above their fair market value, to the tune of 24% higher than they should have been priced. In Austin, TX, the price of homes is considered by some to be over their fair market value as well, though not necessarily at “bubble” levels quite yet.
According to one source, the price of homes in the Austin area is somewhere around 10% higher than what most would consider their fair market value right now. While this may be cause for some level of concern, it isn’t even halfway to the market bubble levels America saw in 2008. With that in mind, it seems safe to say that Austin real estate is experiencing a boom in pricing, though not a major bubble quite yet.
Is Austin a Buyer’s or Seller’s Market?
The answer to this is related to the bubble question above. The nature of the market will change over time, depending on a variety of factors. At times, a city can be a market that heavily favors buyers, and other times a seller’s market can be in full swing. It will all depend on the volume of homes for sale and the number of people looking to purchase a home at that time.
Currently, Austin is considered by most to be a seller’s market. According to one source, the inventory of homes for sale in Austin, TX, has increased a bit, as has the number of days that any given home remains on the market. That said, these numbers haven’t picked up quite enough for the Austin area to be considered a true “buyers” market right now, and housing prices have actually gone up as well, making the situation even more of a “sellers” market at this time.
Because of this, if you’re selling your home in Austin, TX, you are in a great position at the moment. Though some of the indicators listed above are beginning to tilt in favor of buyers, there is no reason to believe that sellers will lose their advantage anytime soon. In the same vein, you’re a good position if you choose to be renting your home in Austin, TX, right now too. The median rent price in Austin is $1700, according to Zillow, which is higher than some surrounding areas.
What Is the Median Home Price in Austin, TX?
According to Zillow, the median home price in Austin, Texas, is currently $368,800. This has increased 6.5% over the previous year, from 2018 to 2019, and Zillow predicts they will rise another 3.4% from 2019 into 2020. To get a bit more specific, the median price of a home on a per-square-foot basis in Austin is $218. This compares favorably for homeowners to the Austin-Round Rock Metro average square-foot price of $158.
Some areas of Austin will have a much higher price than the overall median, of course. If you’re looking for luxury real estate in Austin, TX, then you might want to consider looking in a neighborhood like Bryker Woods. The median home price in Bryker Woods is $1,016,300, considerably above the median we see in Austin as a whole. Bryker Woods’ home values have also increased by a whopping 16.5% over the previous year, making home ownership there a great investment.
What Is the Prettiest City to Live in Texas?
Beauty is in the eye of the beholder, or in this case, in the eye of the homeowner. Ask people from a hundred different cities in Texas which area is the prettiest, and you’re likely to end up with a hundred different answers. That being said, according to multiple different sources, there are two towns that constantly round out the prettiest city to live in Texas: Fredericksburg and Jefferson.
Fredericksburg is adjacent to San Antonio and Austin, so living here means getting the best of both worlds: beautiful hill country and proximity to the big city. Jefferson is considered a historic town, and as such it receives a fair amount of tourist traffic. With over seventy historic landmarks in the area, Jefferson offers something for everyone.
These are just two of the prettiest cities in Texas, of course. Be sure to look around and ask the locals. There’s nothing like getting up close and personal to discover what a city is all about. For our money, though, you should probably still start with Fredericksburg and Jefferson.
Contact Austin Luxury Realty
Are you planning on selling or buying a home in the Austin area? If so, you can secure the best deal – such as the highest price and clearly spelled out, favorable terms – by using the services of professional realtors who specialize in Austin real estate.
Austin Luxury Realty also has the experience and expertise needed to help you with renting your home in Austin. We are the leaders in rental property management. Austin has a booming market, and we can help you rent at the best price while also taking care of the details, so you can rest assured everything is done right the first time. Get in touch with Austin Luxury Realty today.