The final numbers for 2016 are in and Austin area real estate trends are becoming quite evident. Two significant stats that most affect you, in my opinion, are: 1) home prices, and therefore values, are increasing; and 2) days homes are on the market are going up. Check out the infograph from the Austin Board of Realtors below for all the key stats.
Home prices are increasing
The Austin area median home price rose 7% year-over-year this December. All year we've been tracking between 7%-8% increases from the previous year.
We note that average priced homes - homes under $400K - are seeing increases at a higher rate across the board. Luxury or higher priced homes are a bit more flat. Because the market has more homes priced under $400K, the increases in those price points affect the overall percent increase. In reality, different areas and prices have differing percentages of increase.
Homes are taking longer to sell
While the prices of homes are going up, the length of time it takes for homes to sell is also increasing. This is important for a 2 key reasons:
1) Buyers are more deliberate about looking for the value in a home before they are willing to make an offer. Even though prices are going up, the value must be there or else homes will not sell timely and likely sell for less than they might have.
2) Buyers and even a lot of agents in the marketplace still believe that homes should sell extremely fast. Although that is not necessarily the case, when homes do not sell as quick, buyers wonder what is wrong with the home. It is important to be on the early side of the market to ensure the best possible results and outcome for you!
We recognize this gap in buyer expectations and market realities. We combat this gap for our sellers by making sure that the value of their home shines through. Home condition plus features plus price is the equation we use to get value spot on. And it works! Our homes sell for more money and in less than half the time of average agent.
Bottom line is this: it is a great time to sell a home in Austin! Chances are really good that you have built up some equity in your home and top dollar is very much achievable.
For a home buyer - deals are available. Since buyers are increasingly value-conscience, achieving a good deal on your home purchase is a likely scenario. Depending, too, on the days a home has been for sale, you could find yourself with a really good deal!!
All the stats
We love the Austin Board of Realtors infograph that gives a great snapshot at these two metrics plus other key market indicators.
Always call or email me with questions about the market or about your home specifically. As always, all my direct info is just below.