Here’s the good news: the Austin Board of Realtors confirmed that the housing market began to cool down in 2022, as home sales declined 18.3% and inventory climbed to 2.7 months in the Austin-Round Rock metro area — two months more inventory than was available in December of 2021.
The not-so-good news: the metropolitan area set a new annual median house price of $503,000, an 11.4% increase since last year, and mortgage rates are on the rise.
But compared to the last two years of Austin’s fast and furious real estate market, ABoR president Ashley Jackson predicts the cooling trend will continue into 2023 as bidding wars die down and homes sell below asking price.
In the report, Ashley tells prospective homebuyers to “date the rate and marry the house,” even with rising interest.
Meanwhile, Zillow’s December 2022 report says the real estate market is now “ice cold” and Austin has dropped out of the top 10 hottest real estate markets, a list our city topped in 2021. According to the report, Austin’s homes are staying on the market for an average of 68 days and are unlikely to sell above asking price.
In the meantime, here’s the state of the housing market, broken down county.
City of Austin
Living in Austin proper is going to cost you the most, with a median sales price of $525,250, which has fallen by 4% since November. Closed sales dropped by 47% and houses are staying on the market for an average of 54 days, 28 days longer than the month prior.
Although selling tends to slow down in the colder months — new listings are down by 24% — active listings shot up by 227%. A market is considered ‘healthy’ at six months of inventory, but Austin is showing promise at just over two months.
A home in Travis County will set you back an average of $520,000, which dipped by 2% since November. Like Austin, homes are staying on the market nearly 50% longer — an average of 61 days — and closed sales fell by 44%. There are options aplenty in Travis County, with 250% more active listings, or around 3,166 homes.
The median sales price is holding steady at $439,250, but you have time to shop around. Houses are staying on the market for an average of 75 days, which is a whopping 52-day increase compared to November. Active listings are up by 374% and closed sales are down by 21%, so WilCo residents have time on their side.
Going against the grain, homes in Hays County are more 5% expensive than they were in November. However, inventory has been restored to just over three months and houses are staying on the market for an average 95 days.
Bastrop’s December median sale price of $360,000 dropped by 4% since November, while closed sales fell by 16%, but inventory skyrocketed to four months. For now, homes are staying on the market for an average of 75 days.
Caldwell County joined Hays in with an increased median house price, $313,990, of 6% since November. However, this area takes the record for longest time on the market: 100 days, an increase of 44 days.
Are you planning on buying anytime soon? Let us know.