Buyers and sellers see ample opportunity in Austin-Round Rock MSA market
May 2023 Austin Market Stats
In May, home buyer and sellers saw more opportunity across the Austin-Round Rock MSA because housing inventory grew 2.2 months to 3.4 months of inventory and active listings soared 118.9% to 8,960 active listings. This indicates that they view the market as more favorable than in recent months.
“Last month’s housing market activity demonstrates not only a stable market, but one where optimism for the months ahead continues to grow,” Ashley Jackson, 2023 ABoR president, said. “With the ebb and flow of mortgage rates, this is when the value of a REALTOR® comes into play. They can help buyers find down payment assistance programs or identify financing options. Real estate remains the most powerful long-term investment and having a trusted expert in your corner is crucial.”
“Nationally, from May 2022 to May 2023, homebuyers’ purchasing power declined by an estimated 8% to 9% due to the rise in mortgage rates–May’s mortgage rates, averaging 6.4%, were among the highest they’ve been all year. However, in Austin, the moderation in home prices has helped to mitigate the decline in purchasing power. In fact, from May 2022 to May 2023, the monthly mortgage payment declined an estimated 3% to 4%.” Dr. Clare Losey, housing economist for ABoR commented.
Losey also weighed in on buyer and seller expectations in the market.
“Last month, homes sold for 94% of their original list price. The continued uptick in that figure demonstrates that sellers are pricing their homes more accurately and buyers are more responsive to those prices than in the earlier part of 2023. Context matters, and May’s 2022 median home price, $550,000, was the highest median home price the Austin region has ever seen. Relative to pre pandemic levels, last month’s median home price is up 44%.”
You can read all the details about the current market stats here.