As we head into the home stretch of 2016 as the holidays approach, Austin home sales have not slowed down at all! Year-over-year sales are up double digits across Travis, Hays and Williamson Counties. See the full market report and what our owner Michele Turnquist thinks of the market going into 2017.
Michele Turnquist, owner of Engel & Voelkers Austin said, “The surge in home sales is a somewhat unusual occurrence but with the shear number of people moving to Central Texas we have come to see seldom lulls in the market over the past 5 years. At this pace, 2016 will likely turn out to be another record year for Central Texas home sales." She went on to say, "We expect 2017 to be another banner year as growth projections in both housing prices and population continue to sky rocket."
Single-family home sales in the Austin-Round Rock MSA jumped 15.8 percent year-over-year to 2,055 home sales in November 2016, while home sales in the city of Austin jumped 13.7 percent annually to 656 home sales. This double-digit growth was evident in Hays, Travis and Williamson Counties as well in November 2016, with single-family home sales experiencing annual gains of 24.2 percent, 11.3 percent, and 14.7 percent, respectively.
Home prices continued to climb in November 2016, but at a slower pace than in previous months. In the Austin-Round Rock MSA, median home price increased 7.0 percent year-over-year to $294,245, while median price in the city of Austin increased 4.0 percent year-over-year to $342,000. The exception was Williamson County, which experienced a 12.1 percent annual increase in median price to $275,000.
Housing inventory levels remained largely flat throughout the Central Texas region in November 2016. In the Austin-Round Rock MSA, monthly housing inventory levels remained flat at 2.3 months. In the city of Austin, housing inventory crept up 0.1 months year-over-year to 1.9 months. The Real Estate Center at Texas A&M University cites that a balance of housing supply and demand is achieved when housing supply levels are between 6.0 and 6.5 months of inventory.
“Housing inventory will continue to be one of the biggest challenges facing the Central Texas housing market in 2017,” added Farmer. “In some local markets such as Round Rock, inventory levels have fallen below 1.0 months, which means that available housing stock is practically non-existent. It’s critical that our cities’ leaders begin to look at housing affordability not as just an Austin issue, but an issue affecting our entire region.”