Experts say it’s a “historical and unprecedented time” for the local housing market.
AUSTIN, Texas — The housing market continues to take off in the Austin area.
The Austin Board of Realtors (ABoR) is reporting a record-breaking 40,165 homes totaling more than $17.5 billion were sold last year alone.
Homes are also selling fast and for more dough. For the month of December, the median home price increased 15% to $370,000
They’re also on the market for nearly a month less, selling on average in just 36 days.
“This is a historical and unprecedented time for our housing market,” Susan Horton, 2021 ABoR president, said. “The pandemic only increased demand for all types of housing across the region, pushing inventory to near-zero levels and creating the strongest sellers’ market REALTORS® have ever seen. That said, if you are ready to buy a home, now is the time to take advantage of low interest rates that boost your buying power and plant roots in Central Texas.”
Dr. James Gaines, the former chief economist for the Texas Real Estate Research Center, said Austin’s record-high housing demand is due to both economic growth and increased consumer buying power.
“The Austin-area real estate market is experiencing extraordinarily high demand fueled by years of high population growth and employment gains, lifestyle changes following the pandemic and record-low interest rates,” Gaines said. “The pandemic fostered an environment where many families increased personal savings helping some transition from renting to ownership while others needed to ‘move up’ for more space while working from home. Despite a steep slowdown during shelter-in-place orders this spring, the market came roaring back in the summer with no drop-off at the end of the calendar year.”
The full December 2020 and Year-End Central Texas Housing Market Report can be read here.
The report comes just a couple days after Zillow announced it is predicting Austin to be the nation’s hottest housing market for 2021.
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