After months of declining home sales and rising prices, the Austin housing market appears to be recovering. In its most recent monthly report, the Austin Board of Realtors said the near double-digit increase in home sales in June helped boost the numbers for the first half of 2020.
If you look at the numbers for all five counties – Travis, Williamson, Hays, Bastrop, and Caldwell – residential property sales rose 9.3 percent from June 2019 to 3,969, according to ABOR. Despite this early summer boom, home sales in the Austin-Round Rock area fell 5.2 percent in the first six months of the year, largely due to the ongoing coronavirus pandemic.
City of Austin
However, prices did not go down. In the city of Austin, home sales in the first six months of 2020 declined 13.6 percent year over year, while the average price rose 9.7 percent to $ 406,000. With new registrations in Austin down 9.7 percent and active listings by more than 20 percent, revenue also fell. Despite the rapid rise in prices, the city ended the first half of the year with a drop in sales of 6.2 percent.
“Extremely low inventory levels are one of the factors that affect total sales volume while creating a very competitive and tight market,” said James Gaines, chief economist for the Real Estate Center at Texas A&M University, as many new homes and sellers have been reluctant to buy their home to list while ordering accommodation. Even if we saw a 3 to 4 percent drop in sales in 2020, it would still be a strong year for the region. “
Despite the roller coaster ride in the first half of 2020, Gaines said the increase in sales in June should be seen as a positive sign.
“There are many unknowns in the months ahead, but June home sales across the MSA up 9.3 percent year over year were huge given the strength of 2019,” said Gaines, adding, “We’re still up the right way for a strong year. ”
Travis County and Beyond
In line with regional trends, the average home price in Travis County rose 7 percent to $ 385,000. However, the number of sales fell 10.3 percent in the first half of 2020 and continued to decline in June, albeit by only 0.5 percent. Average Williamson County’s home prices rose 2.8 percent to $ 291,920. House sales in this district also fell in the first half of the year (3.6 percent).
Figures show that the further they were from the city center, the more lucky shoppers were. Despite the pandemic, Hays County’s home sales rose 12.2 percent year-over-year and rose 38.6 percent in June. The average price in Hays is now $ 287,265, an increase of 6.6 percent.
Home sales in Caldwell and Bastrop counties also rose 5 percent and 2.7 percent, respectively, in the first half of 2020.