Austin Real Estate Market Report, December 2017: Austin Area Home Sales Soar in Close of 2017

Breaking records is beginning to sound like a broken record in Austin. The metro area once again had a record-breaking year in home sales, according to the Austin Board of Realtors.

The number of sales climbed to 30,059, beating last year’s figure by 2.4 percent. That happened despite the average price climbing by 5.4 percent to $299,900. Prices climbed even faster inside Austin city limits where the median price is now at $362,000.

It’s the seventh year in a row that both median home prices and the pace of sales set records in Central Texas.

“While the Austin area continues to break records, the pace at which annual home sales and prices are increasing in Central Texas is beginning to normalize, indicating a more stable market,” said Steve Crorey, 2018 president of Austin Board of Realtors. “Affordability in Austin and the surrounding areas remains a concern for potential buyers. It’s important to address this issue in the coming years through policies and development codes that allow for more diverse housing options so that everyone can participate in home ownership.”

With Austin’s increasing prices, neighborhoods on the fringes of the city and surrounding counties are seeing some of the most dramatic housing market changes.
The pace of sales in Leander climbed by 7.4 percent last year. Cedar Park’s rate increased by 4.5 percent. And sales grew by 4.8 percent in Hays County.

“As more families move outside city limits, the City of Austin will lose out on economic development opportunities,” Crorey said. “Initiatives such as CodeNEXT can pave the way for smarter more sustainable growth in Austin, and in turn make housing more affordable across the region. It’s imperative that we get a handle on our growth as a region through these types of initiatives.”

In 2016, by contrast, home sales increased 3.9 percent compared to 2015. Meanwhile, median sale price in the area climbed 7.2 percent to reach $284,000.

Looked at in a longer view, average home sale prices in Austin have climbed from $353,919 during 2016 to $372,492 — or more than 5 percent. Meanwhile, the average square footage of homes sold climbed by just one percent, reaching 2,363 square feet.

Here’s a look at other Austin metro area home sales stats from December 2017.

  • Median Price for Single-Family Homes in the Austin Area — $310,000
    Single-Family Homes Sold in the Austin Area — 2,653
    Average Number of Days on the Market — 71
    Total Dollar Volume of Homes Sold in the Area — $998.9M
    Months of Housing Inventory Available — 2.1
    New Listings — 1,635
    Active Listings — 5,220
    Pending Sales — 1,971