Home prices are definitely on the rise this summer, which makes for a great selling season, yet can definitely impact affordability for buyers. Don't worry, we've broken down the latest market statistics for you in a way that's easy to understand and have a great solution for you at the end if you're thinking about buying this season, yet aren't quite sure if you can afford to buy a home in Austin!
May 2018 Market Report:
There were a total of 3,210 single-family homes sold in the Austin-area in May, which is 5% more units sold than this time last year. Meanwhile, the median home price is up 5% from May 2017 to $325,000. Not to mention, inventory has decreased .1 months to just 2.7 months. Keep in mind, 6.5 months of inventory on the market is a "balanced market" meaning it's neither a "buyer's" nor a "seller's" market.
What does this mean?
"In the city of Austin, the availability of housing compared with demand - as measured through inventory - continues to be historically low while median home prices have reached historic heights," according to the Austin Board of Realtors. We see this increasing appreciation for current homeowners and making this summer a great time to maximize your equity in the sale of your house.
New listings (new homes for sale) are up 6% at 4,464. Pending sales (homes under contract) are up 6% at 3,436. At the same time, Active listings (homes still for sale) are only up 1% at 6,848.
What does this mean?
There's more inventory on the market than this time last year, which is great news for buyers as there's more inventory to choose from! Plenty of our buyers are having success finding great homes this summer (reflected in the increased Pending sales this past month), and with the Fed projecting 2 more interest rate increases by the end of the year it really is a great time to make a move and lock in a lower interest rate if you're on the fence about purchasing your next home.
What do I do if I need to buy a house in Austin?
Yes we agree, this is a competitive market to shop for homes in because there is high demand for housing & limited housing inventory. Yet that does NOT mean it's impossible to buy a home here in Austin, and it DEFINITELY should not deter you from making the smart financial decision to buy & invest in real estate in the city. If anything, it should do the opposite!
Housing prices are on the rise, which means that it's essential for you to BUY NOW while prices are still affordable, interest rates are at a historic low, and you can stand to make a heafty return on investment. So the BEST THING you can do to ensure you will confidently buy the right home at the right time is to hire a market expert who is in tune with the in's and out's of this ever-changing market and can help you negotiate a great deal.
We can't tell you how many times our buyers are in multiple offer situations on a home they're interested in purchasing, and they've WON because they decided to hire a real estate team that knows how to get their buyers UNDER CONTRACT! #BOOM Talk about some happy home buyers :)
Your solution to afford a home in Austin: KELLER MORTGAGE
As Keller Williams agents, our team has exclusive access to a FREE LOAN through Keller Mortgage for all of our buyers. This is a loan with competitive interest rates, no loan origination fee, no lender fees, AND gives you $1000 toward closing costs.
If you're on the fence about buying a home here in Austin because you don't think you'll have the cash to bring to the closing table, it pays to speak to Keller Mortgage to see if homeownership is an option for you!
We’re booking appointments now for anyone looking to make a move this year, so be sure to reserve a spot on our calendar HERE as soon as possible. Spots fill up fast, and you deserve to make a move with more money left in your pocket!