Austin Real Estate Market Analysis - December 07th 2023 Update
by: Team Price Real Estate, Unmatched Agents, Unrivaled Insights
Published on: Thursday, December 07, 2023 at 3:45pm
Welcome to our updated analysis of the Austin real estate market as of December 7th, 2023. At Team Price Real Estate, we are committed to providing accurate, data-driven insights into Austin's ever-evolving real estate landscape. Our focus remains on delivering comprehensive information about market trends, supply and demand dynamics, and pricing variations in both the Austin area and the broader Central Texas region.
Market Overview: Our latest data reveals significant shifts in the Austin real estate market. As of the most recent update, the total number of active listings in the Austin-Area MLS stands at 11,459, slightly up from last year's 11,953. This marginal increase contrasts with the 1.3 times growth in Months of Inventory, currently at 5.46 months, up from 4.13 months last year. These changes indicate a gradual shift towards a more balanced market. In the City of Austin, the inventory increase is even more pronounced at 1.5 times.
Interest Rates Analysis: A notable development in the Austin real estate market is the significant shift in interest rates. Rates dropped to 7.03%, marking a substantial drop of 19 basis points in just this month. This represents the most substantial monthly basis point decline in the past 15 years.
Pricing and Affordability: The market exhibits notable changes in pricing. The average list price for active homes in the Austin-Area MLS is currently $545,827, representing a year-over-year decrease of 6.7%. The average sold price stands at $525,819, reflecting a 6.2% decrease year-over-year, while the median sold price has decreased by 7.9% to $413,505. However, in the City of Austin, the median sold price has increased by 2.0% from the previous year, reaching $560,990. These figures depict a nuanced pricing landscape, with variations observed across different segments of the market.
City and Regional Dynamics: In Austin, total sales have decreased from 2,644 to 3,283, reflecting a 24.2% decline. Despite this decrease, the average active price in Austin has seen a marginal increase of 0.34% to $747,150, while the median active price has remained stable at $575,000. These trends indicate resilience in specific market segments within the city.
Zip Codes Analysis: Our analysis of 75 zip codes across Central Texas highlights the diversity in market dynamics. Approximately 40% of these zip codes have experienced month-over-month price increases, while 59% have witnessed decreases. Similarly, year-over-year, 40% of zip codes have seen price increases, contrasting with 60% that have reported decreases.
Sales vs. List Price: The sales to list price ratio remains a critical indicator of market conditions. This month, 66.75% of all sold properties were below the list price, showing a slight increase from last month's 65.58%. Properties sold at list price accounted for 21.14%, and those sold over list price represented 12.11%. This distribution suggests subtle shifts in market dynamics, providing various opportunities for both buyers and sellers.
Our comprehensive report, spanning over 550 pages, delves deeper into these aspects of the Austin real estate market. It focuses on market cycles, affordability, and interest rates, offering invaluable insights for informed decision-making. Team Price Real Estate, known for its expert agents and data-driven approach, remains dedicated to its motto, "Where Experience Meets Insight," ensuring top-tier service in the Austin real estate market.
