Feature Photo: 1300 Sparrow Lane, Austin, TX 78734, For Sale
I'm pretty sure that Buyers, Sellers and Realtors all share in the consensus that the Austin-Round Rock Housing Market is currently frustrating as it continues to "tread water" after last year's decline.
For Buyers looking for a mortgage, Interest Rates have been rising again since the beginning of April with this week's close of the 30 yr. fixed rate just below 7 1/2%, according to Mortgage News Daily. Unfortunately, it's looking like we might be headed for October 2023's high at about 8% again!
The current interest rates have put a damper on excitement for first-time buyers and people who need to move!
Sellers are also impacted negatively by this and the numbers are beginning to show that the most active selling season, April - June is taking to a slow start this year in the Austin, Texas region.
Investors with cash might not "come to the rescue" for sellers who NEED to sell! They may be prudently taking advantage of rising interest rates to grow their cash reserves in their financial portfolio.
Here's the most current illustration of the Austin Round-Rock MSA Housing Statistics for March 2024 published by the Austin Board of Realtors, ABOR:
Looking back one year to April 2023, we see NO CHANGE in the Median Sales Price and less than a 1% improvement in Closed Sales for a Single Family Home, Townhouse or Condo in the Austin Round-Rock MSA.
However, "there might be light at the end of the tunnel"...
Looking back and making comparisons to the Austin area housing market at the beginning of 2024 demonstrates a slight improvement in the market:
Median Sales Prices increased from $430K to $450K, +4.7%
Sales Dollar Volume increased from $892 Million to $1.48 Billion +66%
Closed Sales Rose 896 Units from January through March, +54%
Pending Sales Rose 636 Units comparing March to January, +26%
Average Days on Market Dropped from 86 to 80 Days, -6 days
The number of Active Listings Increased 1,502 Units from January through March, +19%
Inventory Rose to 3.8 Months by the end of March compared to January, +.6 /month
Here are the January 2024 Austin-Round Rock MSA Housing Statistics to see how I'm making the comparisons:
*When you are analyzing the Market Statistics in these illustrations, make sure to keep in mind that the comparisons w/orange arrows reflect increases and decreases from the year prior.
Here's my advice as an Austin Realtor w/Buyer & Seller Clients:
To Sellers: Have your Realtor do a current CMA (Competitive Market Analysis) of what has sold RECENTLY in your area... preferably in the last 3 months. Depending upon the area and type of home that you have, you may or may not find "apples to apples" comparisons. Currently, very few homes that match the criteria of your home may have sold. If this is the case, you'll want to search other, similar communities nearby in addition to searching further back in time. You'll also want to see what listings have expired and what is currently active on the market now and for how long. These are all important price indicators that will help you to sell your home more quickly
Bottom-line... It's going to take a diligent Realtor who is knows your subdivision, the market data and will "go the extra mile" to get your home sold. Hire a Realtor who will do the Open Houses, Door-Knocking, Paid Online Advertising and has a network of Realtors to share your listings... One with a large database of Realtors who have motivated buyer-clients ready to buy!
To Buyers: Most home prices are negotiable now! If you are frustrated about high interest rates, now's the time to focus on getting the purchase price down! Homes are sitting for many months now with no offers, and Sellers are getting antsy. Even if you think an offer is too low, make an offer that you can live with! You might be surprised to see that Sellers are considering low offers. Low offers aren't necessarily perceived as disrespectful! In fact, a Seller who gets no offers might be thrilled to get a low offer as a starting point to negotiate to a price that both the buyer and seller can live with! If you take no action, you will definitely miss a potential opportunity!
Looking to buy or sell a home or investment property in the Austin Metropolitan Area including Lakeway, the suburbs or countryside?! I'm the Realtor for you to contact who KNOWS the market!
Cary Nemeroff, Austin Lakeway ASL Realtor
(512) 409-4047
austinlakewayrealtor@gmail.com
www.austinlakewayrealtor.com
Facebook: Cary Nemeroff, Realtor
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