Austin’s spring housing market is on track for another record-breaking season. Even with the predicted rise in mortgage rates, experts agree that it’s still a great time for home buyers and investors to jump into Austin’s spring housing market.
“For Austin’s 2022 spring housing market, I’m anticipating similar inventory, price, and overall trends as 2021,” said Coleen Karpf, the Zimmerman Group’s Austin Expansion Agent. “Homebuyers who are ready to move now, before interest rates rise, will have a distinct advantage in this fast-paced market.”
Austin Spring Inventory Predictions
Austin’s housing inventory remains low. This is in part due to the area’s high demand and compounded by quick sales of newly listed homes (typically 3 weeks).
Austin’s growth is among the strongest in the nation. The area’s economic development and relatively low cost of living (compared to Silicon Valley) have been driving forces in the population boom.
New construction projects have helped to fill the inventory shortage, but supply chain issues have slowed progress overall.
Austin Spring Price Predictions
It’s no surprise that Austin’s home prices are predicted to increase due to low inventory and high demand.
Homebuyers in Austin are paying nearly 51% more than expected for houses, according to the study conducted by researchers from Florida Atlantic University and Florida International University.
A Zillow study showed that home values in Austin-Round Rock Metro have increased by 43.7% in the last year and they’re predicted to increase by 20.7% in this coming year.
Despite the rising home prices, out-of-state buyers from states like California and Illinois where home prices are also high are still finding relative value in Austin’s housing market.
Who’s Buying in Austin
Austin’s appeal is unique. It tops two of Knock’s buying trends lists. The city comes in as the number one 2022 Millennial Market and the number two 2022 Gen X Market. Proving to be a destination that’s just as popular for first-time homebuyers as it is for established families and older adults.
Millennials are flocking to Austin for its growing tech industry. This generation also appreciates the town's relative affordability when compared to other tech hubs. Austin’s vibrant music and art scene are also strong draws for this age group.
Gen X homebuyers love Austin for its family-friendly vibe, top-rated schools, and high rate of available managerial positions.
Cord Shiflet, the 2022 president of the Austin Board of REALTORS® (ABoR) notes, “With all the new jobs across the region from exciting companies like Tesla and Samsung, Austin was put on the world’s stage and captured the hearts and attention of so many. We are lucky to call Austin our home when it has so much to offer from a great quality of life to a wonderful destination for innovation and opportunity.”
Want to learn more about Austin’s housing market? Schedule a consultation today.