AUSTIN-ROUND ROCK HOUSING MARKET SEES MIXED RESULTS FOR JANUARY 2023, WITH EXISTING HOME SALES STRUGGLING AND NEW CONSTRUCTION SURGING
CENTRAL TEXAS HOUSING REPORT
As we begin the new year, the Austin-Round Rock housing market is showing a continued trend of slowdown in the existing home market while new construction activity remains robust. This follows a similar trend observed in December 2022.
Existing home market trends for January 2023 show a year-over-year decline of 26.1% in closed sales and a drop of 17.9% in sales volume. This decline is in comparison to December 2022 which showed a YoY decline of 48.3% in volume of sales and 43.8% in closed sales. Single-family homes continue to dominate the market, accounting for 1,015 of the 1,432 closed sales. However, it’s important to note that there was a 3.3% increase in closed sales of existing homes from December 2022 to January 2023.
The median price for existing homes in the Austin-Round Rock area decreased by 7.3% from the previous month, now standing at $570,619. The median price for single-family homes in the area also decreased by 8.1%, now standing at $576,617. The average price per square foot for existing homes decreased by 8.5% from the previous month, now standing at $278.
This decline in median and average prices may indicate a softening in the market, making it an ideal time for buyers to search for homes for sale in Austin. The slowdown in the existing home market can be attributed to several factors, including rising interest rates, a shortage of affordable homes, and increased competition from new construction homes.
On the other hand, the new construction market experienced growth in both sales volume and median price, in January 2023. The number of closed sales for new construction homes increased by 17.9% YoY, while the median price increased by 15.7%. Single-family homes represented the majority of the new construction market, accounting for 484 of the 1,006 closed sales.
Townhouses, on the other hand, experienced the most growth in new construction with a 66.7% increase in closed sales. The condominium market, however, experienced a YoY decrease of 14.3% in closed sales, but the median price increased by 9.4%.
The new construction market may be providing some relief to the housing market by offering more inventory for buyers to choose from. As a result, new construction homes may be a more attractive option for buyers who are having trouble finding an existing home that meets their needs.
Overall, the Austin-Round Rock housing market remains strong despite the slowdown in the existing home market. The market still favors sellers due to the shortage of affordable homes, but the new construction market may be offering some relief to buyers.
With the median and average prices for existing homes decreasing in the past month, now may be a good time for buyers to search for homes for sale in Austin. However, with the uncertainty in the economy, buyers should still exercise caution and work with a real estate agent to navigate the market.
At Smart Austin Realty Group, we help you navigate the complex Austin-Round Rock real estate market with ease. Our website offers a comprehensive list of homes for sale in Austin and surrounding areas. With us, you can find the perfect home that fits your budget and meets your needs.
City of Austin – January 2023
In January, home sales decreased 37.3% to 439 sales, while sales dollar volume decreased 35.0% to $295,909,860. At the same time, median price slightly decreased 4.6% to $525,000 for the City of Austin. Last month, new listings ticked up 13.0% to 886 listings, active listings skyrocketed 387.5% to 1,760 listings as pending sales declined by 26.0% to 678 pending sales. Monthly housing inventory increased 1.9 months year over year to 2.2 months of inventory.
Travis County – January 2023
In Travis County, home sales decreased 31.7% to 749 sales, while sales dollar volume decreased 31.3% to $492,893,906. Last month, the median price in Travis County slightly dipped 5.9% year over year to $499,274, while new listings increased 17.0% to 1,410 listings and active listings ballooned 421.9% to 3,116 listings year over year. Pending sales declined 22.3% to 1,130 pending sales as monthly housing inventory increased 2.0 months year over year to 2.4 months of inventory.
Williamson County – January 2023
January home sales decreased 26.2% to 556 sales in Williamson County. Sales dollar volume declined 28.8% year over year to $269,359,523. The median price slightly decreased 4.9% to $437,500 as new listings ticked up 6.8% to 892 listings. During the same period, active listings soared 654.1% to 2,383 listings while pending sales dropped 11.4% to 909 pending sales. Housing inventory rose 2.2 months to 2.5 months of inventory.
Hays County – January 2023
In Hays County, January home sales decreased 11.9% to 245 sales and sales dollar volume also dropped 16.7% to $123,838,974. The median price for homes rose 7.3% to $427,665. During the same period, new listings increased 38.4% to 447 listings, while active listings skyrocketed by 398.7% to 1,192 listings. Pending sales slightly decreased 10.1% to 372 pending sales as housing inventory jumped by 2.7 months to 3.3 months of inventory.
Bastrop County – January 2023
Last month, Bastrop County home sales decreased 35.7% year over year to 63 sales, while sales dollar volume also fell by 39.2% to $24,904,074. Median price decreased 7.9% to $350,000 as new listings ticked up 5.2%
to 163 listings. Active listings soared 319.3% to 499 listings as pending sales decreased 20.8% to 122 pending sales. Housing inventory increased by 3.2 months to 4.1 months of inventory, the highest level of inventory across the MSA in January.
Caldwell County – January 2023
In Caldwell County, home sales decreased 4.6% year over year to 21 sales, and sales dollar volume also dropped 20.0% to $6,458,267. The median home price slightly rose 0.6% year over year to $316,750. At the same time, new listings increased by 31.0% to 76 listings as active listings skyrocketed 315.6% to 133 listings. Pending sales decreased 7.7% to 48 pending sales, and housing inventory increased 2.1 months to 3.1 months of inventory.