2013 2nd Quarter Austin Real Estate Update
If you are considering buying or selling a home, or if you are moving into our area you’ll want to check out the information in the 2013 2nd Quarter Austin Real Estate Update!
Austin Market
It’s summertime, and the living has been easy for Austin home sellers! Inventory is tight and buyers are competing harder than ever to get their contracts accepted.
Prices have inched up, as have interest rates. But neither has been high enough to impact demand. The market has absorbed the increases. It is true that the overall Austin market has risen to 2.9 months of inventory, from 2.1 in our 1st Quarter analysis. However, this reflects a seasonal increase in inventory that happens every spring and summer. This the most active time of year for real estate, as families try to transition in between school years.
Some of our clients ask, “Are we experiencing a housing bubble in Austin?” The national housing bubble from 2004 – 2007 was fueled by speculation and sub-prime lending to unqualified buyers. It burst when foreclosures began to happen. Demand for homes in Austin is fueled by job creation. New buyers open the door for locals to upgrade, downsize, or make job changes.
Builders have ramped up their production, but they are finding plumbers and carpenters with full schedules and building materials in short supply. So, new homes are not coming on fast enough to soften the market. It will take a few years for the market to even out between supply and demand for homes.
Austin Inventory Levels – A Quick Look at Some of Austin’s Hottest Areas
These areas all have inventory levels below 1 month. With median prices from $250K-399K, these areas offer relatively affordable central options in a city that is rapidly becoming more expensive.
Allandale, Crestview, Brentwood area: Rising prices in Hyde Park, Rosedale, and Brykerwoods neighborhoods have pushed buyers north of Koenig Lane. Here there are charming homes available in the $300k range. (MLS Area 2)
Windsor Park, Mueller, Maplewood, Delwood, University Hills area: Part of the East Austin boom and gentrification. These older neighborhoods offer mid-century modern homes on big lots with slab foundations. They are ideal for remodeling in today’s retro style. (MLS Area 3)
Circle C, Western Oaks, Legend Oaks, Westcreek: Circle C and surrounding neighborhoods remain a very strong investment. Newer homes, convenient retail, and wonderful community amenities make this an ideal spot for folks who want affordable space. (MLS Area SWW)
Austin’s Population
2000 – 656,562 residents
2010 – 790,390 residents
2013 – 842,750 residents
2024/2025 – Austin Demographer Ryan Robinson predicts 1,000,000 residents.
As Austin’s population swells in the next ten years, downtown will feature more high rises and suburban neighborhoods will sprawl around the outskirts. A steady influx of new residents should continue to foster healthy long term appreciation. With interest rates and prices still relatively low, now is a great time to get into the market and be a part of Austin’s growth.
More than 30 years in Austin real estate has taught us that service is the key to success, and we look forward to serving you.
Information Provided by Roselind Hejl, CRS
Coldwell Banker United Realtors
512-327-0385 – Direct
512-789-4563 – Cell
www.weloveaustin.com
roselind@weloveaustin.com
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