Other investors who invest in markets like the stock market, cryptocurrency market, and foreign exchange market live with the fear that the market can crash at any given time.
However, people who buy houses live with the idea that homes increase in value as the years go by. While this may be true, there are times when the housing market experiences lower demand and lower prices.
Before you decide to sell my house fast, Austin, you must understand the local housing market. In this article, we’ll discuss how the series of rate hikes and other factors affect the Austin housing market. Continue reading to learn more:
Austin Housing Pricing: Difference Since September 2022
Home prices increased greatly in Austin in May 2022; at that time, the Austin median sale price rose up to $670,000. But as of September 2023, the median home sold price in Austin was $570,434 which is 4.3% from last year and the median price per square foot was $320.
Below is a detailed table of the median sold price by bedroom count in Austin from September 2022 to September 2023.
|#Beds||September 2022||September 2023||Change|
Is the Austin Housing Market Overpriced?
The price of houses on the Austin housing market depends on several factors. Before concluding on whether the Austin housing market is overpriced, it’s important to know that there’s been a high level of demand the past few years. Different factors including a strong local economy, a growing population, an influx of out-of-state buyers contributed to the increase in demand in the Austin housing market. Due to the high increase in demand, there’s been an increase in the median home price too.
Research suggests that houses in Austin are among the list of overvalued houses in the United States. According to researchers from Florida Atlantic University and Florida International University, homebuyers in Austin pay almost 51% more than the average amount for homes in other states with the exception of Boise and Idaho paying 81% more than the average price for homes.
On the flip side, homes in Austin are still affordable compared to prices of homes in other major cities. The median home price in Austin (which is considered high) is still lower than in cities like New York, Los Angeles or San Francisco. Also, the cost of living in Austin isn’t as high as it is in other cities which means buyers can comfortably own a home
Another factor to consider is that the Austin housing market has high chances of growth. Austin’s robust and diverse economy makes it less vulnerable for economic shocks which makes Austin a worthwhile long-term investment for homebuyers.
In summary, the matter of the Austin housing market being overpriced is subjective. Some buyers may not view buying a house in Austin as a good investment while others may see it as a good investment in a mega city. Before considering whether to buy a house in Austin, potential buyers should assess their financial situation and long term goals.
Significant changes have occurred in the Austin Housing market; however, the possibility of a crash is improbable. With Austin fast becoming a mega city, plenty of opportunities are available for investors. Austin is a city with the potential for more job creation in the coming years, so you can expect a real estate market that attracts more investors in the future.
At Austin All Cash, we will buy your house in Austin whenever you’re willing to sell. We will buy your house at the best price and close the sale of your home without wasting your time. We do not request our clients to make repairs or renovations in their homes before we buy. We buy your house as-is and also take care of all necessary paperwork.
Contact us today to learn more about our services!