Top 10 Reasons Austin Housing Market Remains Strong
1. Sold prices are holding steady. In September 2008, the median sold price was $181,855 compared to $183,500 in September 2009. Whereas housing prices are plummeting in many U.S. markets, the Austin market remain stable.
2. From 1998 to 2008, Austin-Round Rock was the #1 fastest-growing Texas metro area. It had a 43% increase in population demonstrating its popularity and solid growth.
3. Average days on market remains about the same as 5-year average. In Austin, the 5-year-average days on market was 62 days. The September 2009 average was 69 days showing homes are taking about the same amount of time to sell as they have during the past 5 years.
4. New home construction is picking up. A total of 2,185 permits were issued during 3rd quarter 2009, up 9.2% from 3rd quarter 2008.
5. Some neighborhoods are experiencing high demand and strong sales. According to the Texas A & M Real Estate Center “Hotness” Ranking, Areas 10S, 10N, SWW, & SWE (Southwest Austin), 3E (East Austin), N (North Austin) & 1N (Northwest Austin) rank at the top of the “Hotness” list due to high number of pending sales & sales plus faster than average days on market.
6. Austin area existing home sales rose 6% in September 2009, the first year-over-year increase in more than two years. The 1,780 sales were up from 1,748 in August, and up from 1,673 in September 2008. “This spur in activity compared to last year is a good sign,” said Jay Gohil, chairman of the Austin Board of REALTORS®. “It shows the Austin-area real estate market is healthy and has remained stable.”
7. The Texas economy is predicted to begin a slow, steady recovery in 2010. According to BBVA Compass’ U.S. Regional Watch 3rd quarter report, Texas will benefit from funding through the federal government stimulus program.
8. Austin has a high quality of life. Named as the “Live Music Capital of the World”, Austin has a rich arts and music scene. It also boasts beautiful hill country, lakes, a mild climate, and the renowned University of Texas. Austin has a unique combination of affordable housing, excellent employment options, and extensive parks and recreation. Even as the city has grown, we still know how to Keep Austin Weird.
9. Average Austin home appreciation at the end of 2008 was higher than Texas & national averages. The U.S. average home price showed 0% appreciation at the end of 4th quarter 2008 while Austin average was just over 4%.
10. Texas is a popular relocation destination. Based on a study conducted by Atlas Van lines of all cross-border moves during their 2008 calendar year, 8,629 people moved into Texas and 6,442 moved out. In this study, the majority of U.S. states showed balanced or outbound migration, but Texas shows inbound migration which is a positive indicator for housing values and growth.
Sources: Austin Board of Realtors MLS, Texas A & M Real Estate Center, RECON.
Tammy is a licensed Realtor with Horizon Realty in Austin, Texas. An Austin resident since 1978, she's part of a Mother/Daughter Realtor team with over 27 years of combined experience. Tammy & Judy are experts at marketing and staging homes for top dollar. They specialize in the Wells Branch subdivision in North Austin and have helped Buyers, Sellers, and Investors in all parts of the city and surrounding areas. You can reach Tammy at tammy@familypair.com or (512) 773-3214 or visit her site at http://www.familypair.com/.
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