Understanding Austin's Housing Market: Are More Houses for Sale or Are People Buying More?

March 20, 2024

Understanding Austin's Housing Market: Are More Houses for Sale or Are People Buying More?

Is Austin a Buyer's or Seller's Market?


Understanding the real estate market is important for buyers and sellers alike. One way to gauge the market is by looking at the "Months of Inventory" (MOI). This shows how long it would take for all homes on the market to sell at the current pace. Analyzing MOI helps us see if it's a good time to buy or sell. This blog explores the Austin real estate market by breaking down MOI in different areas.

The analysis shows that Austin's real estate market is varied. The overall MOI is 5.47, suggesting a balanced market. However, there are differences in local areas.


Seller's Market: When MOI is less than 4.9 months, it's a seller's market. This means demand for homes is high, and sellers have the advantage. In areas like Hutto, Cedar Park, and Manor, MOI is below 4.9, making them seller's markets. Here, sellers often get multiple offers, and homes sell quickly, sometimes above the asking price. Buyers need to act fast and make competitive bids to secure a home."


Austin (4.41 months)
Bastrop (3.31 months)
Buda (3.49 months)
Cedar Park (2.95 months)
Georgetown (3.63 months)
Hutto (1.43 months)
Jarrell (4.02 months)
Kyle (4.25 months)
Leander (3.44 months)
Liberty Hill (4.58 months)
Manchaca (4.00 months)
Manor (2.90 months)
Pflugerville (2.44 months)
Round Rock (2.70 months)


Neutral Market: In a neutral market, there's a balance between the number of homes for sale and the number of buyers. This means neither buyers nor sellers have a big advantage. Prices are more steady, and homes sell at a moderate pace. Both buyers and sellers can negotiate more easily because the market is fair. About a third of Austin falls into this neutral category. Places like Driftwood, Liberty Hill, and San Marcos are examples of areas with a balanced market. People buying or selling homes in these places can expect a smoother process, without the pressure of a fast-moving market.


Cedar Creek (5.33 months)
Dale (6.22 months)
Del Valle (6.58 months)
Driftwood (5.23 months)
Dripping Springs (6.37 months)
Elgin (6.77 months)
Lockhart (5.95 months)
Marble Falls (5.19 months)
San Marcos (4.98 months)
Taylor (5.78 months)


Buyer's Market: When there are more than 7 months of homes for sale, it's a buyer's market. Here, buyers have the upper hand. They can use the surplus of homes to negotiate better prices and terms. Sellers might need to wait longer for offers and be more flexible. The analysis shows that places like Lago Vista, Smithville, and Spicewood are buyer's markets. In these areas, buyers have more options and bargaining power. Sellers might need to change their plans to get attention. Some cities in the Austin area that are buyer's markets include:


Burnet (11.00 months)
Lago Vista (11.00 months)
Smithville (11.00 months)
Spicewood (11.00 months)
Wimberley (8.45 months)


Is Austin good for buyers or sellers? Looking at how many months of homes are available in different places, Austin's real estate market shows a mixed picture. Overall, it's kind of in the middle, but specific neighborhoods vary a lot. Some places are better for sellers, while others are better for buyers. It's important for buyers and sellers to look at local data to understand what's going on in their area.


Conclusion: Austin's real estate market is diverse, with different conditions depending on where you look. Knowing how many homes are available is key to making smart decisions. Whether you're buying or selling, understanding the local market helps you plan better. Austin's real estate scene has its ups and downs, with some areas favoring sellers and others favoring buyers. By keeping up with what's happening and adjusting your plans, you can make the most of the market.


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