November 2020: Real Estate News Roundup

This month we look at some of the biggest stories impacting the future of Austin’s economic growth, affordability and quality of life.

Austinites approved Proposition A this election week which proposed a high-speed transit system throughout Austin, named “Project Connect.” It will include a light rail system, new bus routes, create a new downtown tunnel system, and provide $300 million for affordable housing. The passing of Prop A means a permanent increase to the city’s property tax rate that will help pay for Project Connect which will help alleviate the growing traffic in the city due to continued population growth.

A new large mixed-use development will bring 1,700 homes to Georgetown. This North Austin suburb’s population has grown by 67.6 percent the past 9 years and this new project will help provide new homes to meet the demand for housing in the area. The new project will also include 100 acres for apartments, 47 acres of open space, an elementary school, middle school and community center. 

Austin Football Club fans will soon have something to cheer about, as the newest Major League Soccer team looks to kick off their season in a brand new stadium next year. Before the 2019 announcement of the new Austin FC team, Austin was the largest city without a major professional sports team. Austinites are excited for the season to begin! 

National Real Estate News

Typically, as the weather gets cooler, the housing market does too —however, that is not the case this year. National Association of Realtors is forecasting a busy winter housing market due to record low interest rates and pent up buyer demand created from the pandemic lockdowns. This buyer demand likely won’t diminish anytime soon.

As we have reported, there is obviously very strong demand, but the lack of inventory and higher home sales prices are affecting housing affordability. Housing affordability is near a two-year low according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Opportunity Index (HOI). Will we see this trend continue? More details here.