Fall is here, which means it’s time for another quick market update.
What’s the latest news from our Austin market as fall arrives?
The seasonality of our market brings its share of natural ebbs and flows. Summer is our busiest season, but as it comes to an end, activity slows down and there’s a bit of a break before the school year starts. With this, sale prices typically come down during September and October. After these months, though, prices usually jump back up to where we usually see them during mid-summer.
If you’re a home seller, a lot depends on the quality of your home and how it’s priced relative to what the market will bear.
At the moment, our market is still appreciating, but this growth has slowed down a lot. If we look at the numbers from last August and compare them to August 2018, prices have appreciated by just 1%. It’s also interesting to note that, at the same time, we don’t have a lot of inventory. Specifically, we’ve dropped from 2.5 to 2.6 months’ worth last year at this time to just 2.3 months’ worth right now. Only time will tell how these conditions develop.
It’s worth mentioning that the Austin market can vary greatly from neighborhood to neighborhood. If you’re a home seller, a lot depends on the quality of your home and how it’s priced relative to what the market will bear.
If you’re a real estate investor, there are many opportunities in and around Austin you can take advantage of—especially for single-family homes in North and South Austin. Ever since Apple announced they were building a new campus in North Austin, this area has generated a lot of interest. The homes here are reasonably priced and rent very well. The homes in South Austin are slightly cheaper, but they offer a really good cap rate.
The duplex and quadplex markets, meanwhile, are much tighter than the single-family market. If one of these properties gets listed, it tends to sell quickly.
As always, if you have any more questions about our Austin market or you’re thinking of buying or selling a home, don’t hesitate to reach out to me. I’d love to help you.