Apparently, there’s one thing that Austin real estate can slow down: a global pandemic. After a decade of near-constant growth, single-family home sales in Austin fell dramatically last month due to the impact of COVID-19.
According to the Austin Board of Realtors’ April 2020 Central Texas Housing Report, residential real estate sales in the metropolitan area of five counties fell 21.6 percent in April 2019 to just 2,611 sales. The sales volume in the Austin-Round Rock subway also fell sharply, down 18.3 percent from the previous year.
But not everything has changed. The local impact of stay-at-home orders has resulted in a decrease in the number of homes listed (a 7.3 percent decrease), but people still want to buy in Austin, causing the median home price to rise both within the Austin area Landes as well as within the country leads city and over the metropolitan area of the underground.
In the city of Austin, the median home price skyrocketed to $ 421,000, up 12.1 percent year over year. The average price of the five-county subway is now $ 325,000, up 3.2 percent from April 2019.
“We expected a sharp drop in home sales activity in April as it correlated directly with the drop in listing activity in March due to government contracts for the home,” said ABOR President Romeo Manzanilla in the report.
“Despite the impact on home sales, homes still spent less time in the market and sold at higher prices than last April. Austin housing demand is unwavering and may be fueled by falling inventory levels. “
City of Austin
Oh boy, has inventory gone down? Within the city limits, new registrations fell by 7.3 percent to only 6,349 active properties. With the drop in listings, sales of residential properties also fell 33.1 percent to 759.
The monthly housing stock, also known as the length of time a property is listed and a key indicator of a balanced market, has shrunk to 1.6 months.
The county’s numbers mirrored Austin’s numbers very well. Home sales declined (28.6 percent) while median home prices rose to $ 395,000, up 9.7 percent year over year.
As in Austin, Travis County’s new registrations, pending sales, and monthly housing stock decreased.
Rest of the subway area
The remaining four counties – Williamson, Hays, Caldwell, and Bastrop – saw broadly the same pattern, with the exception of Hays, which, oddly, saw sales grow 16.2 percent.
Williamson saw residential real estate sales declined 23.1 percent, accompanied by a relatively modest increase in median home price of 6.6 percent to $ 300,000. Likewise, Caldwell home sales fell 36.7 percent and the average price fell 1.9 percent year over year to $ 202,500. Meanwhile, Bastrop home sales also fell 6.5 percent, albeit less dramatically, while median home prices hit $ 260,000, an increase of 10.6 percent.
And then there is Hays, the big runaway. Not only did home sales spike during the COVID-19 pandemic, the spike also caused the median home price to fall 1.6 percent to $ 284,950.
Despite all this upside-down coronavirus-induced chaos, Manzanilla remains optimistic that the Austin residential market will recover quickly.
“It could have been a lot worse,” he said. “Efforts to get real estate recognized as an essential business helped reduce the negative impact of the April pandemic. Now the listing and display of activities is already increasing again. We hope this growth will continue in the weeks and months to come will continue. “