Despite the number of homes sold throughout the Austin-Round Rock Metropolitan Statistical Area (MSA) remaining flat this September, median home values and sales dollar volume increased year-over-year. Additionally, housing numbers in the first nine months of 2018 showed gains compared to the same period last year. Due to strong performance in the first three quarters of 2018, this year could end up being another strong year for real estate.
“In the Austin area, we’ve been so used to seeing record-breaking housing statistics that when the market begins to show signs of moderation, there’s a tendency for some consumers and analysts to panic,” said David Brodsky, broker/owner of Austin area real estate brokerage, David Brodsky Properties. “This year alone, we’ve had some record-breaking real estate numbers. Despite the September sales plateau, 2018 is still shaping up to be a strong year overall.”
Austin-Round Rock MSA
Throughout the five-county MSA, sales volume decreased 0.9 percent year over year from 2,390 sales in 2017 to 2,368 sales this September. In contrast, year to date home sales increased 3.6 percent in the first nine months of 2018 over the same time period last year.
For the first time in any September on record, high demand and limited inventory across the metro pushed the median home price above $300,000. Median home price grew 4.2 percent to reach $302,250 this September from $290,000 last year. Total sales dollar volume increased 5.7 percent year over year to $905,577,673.
- New listings decreased 2.4 percent year over year to 2,790 listings in September.
- Active listings increased 5.1 percent to 7,706 listings.
- Pending sales increased 3.3 percent to 2,362 pending sales.
- Inventory remained unchanged year over year at 3.0 months, likely holding back sales for the month.
According to Lawrence Yun, chief economist and senior vice president of research at the National Association of REALTORS®, flat sales growth in the Austin area could be due to rising interest rates.
“Higher interest rates have cut affordability and are holding back home sales,” Yun said. “But steady growth in jobs and income will boost housing demand over time. Increasing housing supply as reflected in higher housing permits will also help slow home price growth and help consumers.”
City of Austin
Home sales numbers played out similarly in the City of Austin. Home sales growth remained relatively unchanged while sales dollar volume increased. The median home price increased while new listings decreased.
- Home sales growth showed a slight 0.9 percent dip from 708 home sales in September 2017 to 702 home sales.
- Sales dollar volume increased 8.3 percent to $324,865,480.
- Median home price increased from $353,500 to $365,000.
- New listings decreased 11.3 percent to 803 listings.
- Active listings decreased 11.8 percent to 1,660 listings.
- Pending sales increased 4.6 percent to 703 pending sales.
- Monthly housing inventory decreased by 0.3 months to 2.1 months of inventory.
September single-family home sales increased slightly 1.7 percent year over year to 1,151 home sales in Travis County. Sales dollar volume increased this September 8.2 percent to $523,502,042. The median price for single-family homes rose 4.8 percent to $351,000.
- New listings decreased 5.7 percent to 1,360 listings.
- Active listings decreased 2.4 percent to 3,516 listings.
- Pending sales increased 5.1 percent to 1,162 pending sales.
- Monthly housing inventory decreased 0.2 months year over year to 2.8 months of inventory.
This September, Williamson County single-family home sales dropped 9.1 percent to 805 home sales. The median price for single-family homes increased 2.2 percent to $275,978 this September. Housing inventory increased 0.2 months year over year to 3.0 months of inventory.
- Sales dollar volume decreased 4.2 percent to $251,413,411.
- New listings increased 1.6 percent to 951 listings.
- Active listings increased 11.8 percent to 2,685 listings.
- Pending sales decreased 2.2 percent to 805 pending sales.
In Hays County, single-family home sales rose 10.8 percent to 297 sales this September. Sales dollar volume experienced a double-digit increase of 16.3 percent to $101,038,355. During the same period, new listings rose 3.6 percent to 343 listings.
- Median price for a single-family homes increased 3.4 percent to $258,500.
- Active listings increased 9.9 percent to 1,043 listings.
- Pending sales increased 4.4 percent to 283 pending sales.
- Housing inventory increased 0.1 months to 3.5 months of inventory.
Real estate consumers are urged to seek out the assistance of an expert Austin area real estate agent to aid them with their real estate transaction. As a result of the strong yet dynamic nature of the market, buyers need professional insight. An expert realtor will advise buyers by providing the most recent and accurate sales numbers. For sellers, an experienced Austin real estate agent will provide invaluable insight in order to make the most of their home sale. In either situation, navigating the market without consultative services could cost thousands of dollars in a real estate transaction.
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