Real Estate Snapshot:
According to the Austin Multiple Listing Service, prices for single family homes in the month of February rose 2% over the same period last year. The number of sales of single family homes, however, decreased by 10% over last year for a total of 1,553. Homes sat on the market an average of 75 days, and the number of active listings in February was 9,127. This means that we currently have a 5.87 month supply of homes currently on the market, which is definitely on the soft side for Austin. (1-3 months is a seller's market, and 7 months or above is a buyer's market.)
Update: Condos In Austin
According to the Austin Board of Realtors, sales of condos and town homes in February dropped 16%, and the median price dropped 2% in the same month. With the seeming glut of condos and townhomes for sale in Austin, and all the condos that continue to pop up on our skyline, what is the future of condos in Austin?
In February there were 152 condos/town homes sold, 131 went pending, and 1734 are currently on the market. With these rough numbers it looks as if Austin holds an 11 or 12 month supply of condos and town homes, with many more being built all the time. These numbers look bleak.
The Austin American-Statesman recently released an article with a more optimistic stance on the state of condos in Austin. A study found that:
1. Only 13% of condo buyers are buying for investment purposes, and a whopping 70% are buying as their primary residence. All new condo projects are capping the number of investors they sell to at 25% to avoid any problems.
2. 818 condo units will be completed this year, and over 90% are either under contract or already sold.
3. A little more than 2/3 of the condo buyers are from Austin, which is a good thing because it protects Austin from much speculative buying that could lead to a later collapse.
4. Shockingly, 70% of condo buyers work somewhere other than downtown, which just attests to the desireability of downtown as a full time residence.
View the full article at http://www.statesman.com/business/content/business/stories/realestate/04/02/0402condos.html
Learn more about Austin Condo Projects than you ever wanted to know at www.AustinTowers.net
Search for available Austin Condos and Town homes at www.AustinHBCSearch.com
If you have questions about a specific condo project in downtown, or need help finding the best condo for you, give us a call at 512-454-8955.
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