Despite limited inventory, the first market analysis of the year according to the Austin Board of Realtors® shows steady increases in single family home sales, signaling a strong housing market for 2018. The “thin inventory” and solid single-family home sales growth is consistent throughout the Austin-Round Rock Metropolitan Statistical Area (MSA).
According to Jim Gaines, chief economist, Real Estate Center at Texas A & M in 2018, Central Texas’ housing market will continue to see an increase in both sales and price, despite inventory levels remaining low.”
In January 2018 there was an 8.5% increase in number of single family homes sold over January 2017 in the Austin-Round Rock MSA Median price of homes moved up 3.6% to $290,000 Average days on market was up 8 more days. 1.9 months of inventory the same and the total sales dollar volume was up 10.6% to $593,796,056!
Steve Crorey, 2018 president of the Austin Board of Realtors®, said: “More housing capacity is necessary to offset the aggressive price increases we’re seeing in and around the city of Austin. Getting CodeNext right gives Austin the opportunity to manage our growth responsibility by providing more diverse housing choices and more housing overall without sacrificing the unique character of our neighborhoods.”
Austin is known for our distinctive style and personality and we want to retain our “Keep Austin Weird” philosophy even with our city growing at a record pace. Our culture is what is attracting so many to Austin; we don’t want that uniqueness to be altered.
Austin made the dubious distinction in INRIX of being #18 out of 25 of the worst traffic hot spots in the 25 most congested cities. We need to address our transportation issues instead of worrying about employers mandated to pay for sick days for their employees. Cruising streets of Austin is an experience we are all beginning to dread.
The new home market is moving to the suburbs, growth is substantially up in Hayes and Williamson counties. Eldon Rude from 360 Real Estate Analytics gives Austin a positive outlook for the housing market in Austin for 2018. With unemployment at 2.7 % and companies are committed to expanding to Austin. Population continues to grow at 2.9% per year and forecasts a continued growth of 3% through 20130. Eldon predicts new housing states in MSA to increase again.
Inventory will remain tight in Austin driving prices up even further is we don’t get a handle on CodeNext which is now in its third draft.
There is no question inventory will be a determining factor in the direction of 2018 real estate! After reading and listening to the positive outlook for 2018 held by noted economists I’m convinced 2018 is going to be another banner year in Austin real estate.
Mark Sprague, State Director of Information Capital,, sums it up: “There is not a better time to buy! Yes, you should have bought in the previous years, but the chances of seeing those rates or value again is slim.”
As always, what’s going on in Austin and real estate information is brought to you as a courtesy by Dorie Dillard, Coldwell Banker United, Your NW Austin Real Estate Consultant.
P.S. If you are considering the sale or purchase in NW Austin, I would appreciate the opportunity to earn your business and exceed your expectations. Reach out to me and Let’s Talk!
