Welcome to the FIRST edition of our monthly newsletter, where we bring you the freshest insights and updates from the heart of Austin's real estate market. What better time to launch than the end of the year, right? Our goal is to keep you informed and ahead of the curve, whether you're buying, selling, or just love to keep up with the market trends.
Quick Glance at Austin's Current Real Estate Trends
- November Housing Market Overview: [Brief summary of current market trends, price changes, etc.]
- Units Sold: 2,141
- 🔻 5.89% from Nov 2022
- Average Sales Price: $531,974
- 🔻 5.18% from Nov 2022
- Average Days on the Market: 73.65
- 🔺 25.58 days from Nov 2022
- Median Sales Price: $416,545
- 🔻 7.43% from Nov 2022
- Units Sold: 2,141
We are STILL seeing the effects of once in a lifetime low interest rates as the market has cooled off considerably. In addition to the sales price of homes dropping, we now currently have over 10,000 homes on the market for the first time in over 15 years. There are 10,869 listings currently active on the market with an average list price of $778,706. As you can see, this is much higher than the average sales price we had in November. In my opinion, we are seeing this for a few reasons. When rates were low, buyers aggressively accelerated their timetable to capitalize on the rates and to "not miss out" on a home in the crazy buyer's frenzy we had in years past. This wave has now receded and we are waiting for the buyer pool to fill up a bit. In addition, because of the steep rate hike (above 8% for many), there is buyer anticipation for lower rates promised in the future so many have put their plans to purchase on pause in hopes of a more affordable monthly payment. Seller's have had a tough time adjusting to this market where values seem to be dropping daily and its tough to sell your home for sometimes far less than your neighbor bought for in 2021. Adjusting price to 'chase the market' has resulted in 1,209 price decreases in the past 7 days alone!
What does this mean for potential buyers?
Interest rates have fallen a bit recently and we're seeing an uptick in buyer activity because of it. The Federal Reserve is rumored to drop interest rates several times in 2024, but it is unclear when that will happen and it may not be until at least July. If you are a buyer holding out for lower interest rates, you should be prepared to face stiff competition from others who are thinking the exact same thing. We are very much in a buyer's market right now given the historic (I'm a little sick of this word lol) level of inventory and sellers WANT to sell their homes. A buyer right now has an incredible opportunity to negotiate repairs, get closing costs covered and maybe even get their interest rate bought down by the seller.
Long story short, you may be jealous of those who purchased with a rate much lower than what you will get, but you currently have the pick of the litter for the area and home that you want WITH the ability to negotiate repairs and purchase a home that doesn't need much work put in. Ask buyers from 2021 how many repairs and upgrades THEY had to come out of pocket for. And the best part, when rates DO fall back down, you can always refinance your loan to the rate you've been waiting for with the upside of living in your dream home.
What does this mean for sellers?
It can be a very stressful and possibly scary time to be a seller right now, and understandably so. Despite the record number of homes on the market, we are also seeing a record number of price reductions and withdrawn listings as well. If you are thinking about selling your home, it has never been more important than now to work with a professional who can aggressive market your home. With buyer's holding a lot of negotiating power, you also need someone who can advocate on your behalf and while you more than likely need to make concessions to buyers, you don't need to go overboard just to sell your home.
Homes are still selling, but they need to be priced correctly, marketed accordingly and set up for success from the start. It can be tempting to wait until next year when the market picks up a bit, and if your situation allows for it then that might be the best move and advice I would give you. If you have a pressing need or desire to sell soon, it can be done but it has to be done right.
Sixth Street Highlights
News and Updates from Our Brokerage
We have new agents! This new brokerage is growing and this month we brought on two agents who I have worked with in the past and I am ESTATIC to be under the same brokerage with them again. Please give a big welcome to Stacey Malleck and Bradley Manning!
Handpicked Properties Just for You
Welcome to 2106 Bluebonnet, a spacious 3 bed, 2 bath, 2-story gem in the coveted Chandler Creek neighborhood. With plenty of square footage, this home offers a perfect blend of style, comfort, and efficiency. The kitchen seamlessly opens to the dining room and a generously sized living room, making it an entertainer's delight. What sets this property apart is its versatile converted garage, ready to be your home gym, studio, game room, or even a cozy home theater. The primary bedroom and bath are conveniently located downstairs, while upstairs boasts an open loft and two additional bedrooms.
A must-see! This gorgeous retreat-style home perched on over an acre with picturesque Live Oak trees, shimmering pond, and stunning pool is sure to go fast! Imagine yourself enjoying a picnic under the trees with food straight from your garden, and stargazing poolside on those beautiful Texas nights. The home features 4 bedrooms and 2 bathrooms situated in a flexible layout that can adapt to suit your needs.
From My Desk
A Personal Note from Adam
As this is the very first newsletter, I'll keep this brief and introduce myself. My name is Adam Walters, I grew up in the Central Valley of California in a town called Visalia. Known for it's agriculture, where I'm from is a far cry from the beaches of LA, but I love it all the same. I first moved to Texas when I left to attend TCU (the championship game still hurts) where I met my wife Dana. She is born and raised Austin, so I didn't have much of a choice when it came to moving here, but I have come to really love this city.
I've worked in real estate off and on since 2010 and I have been selling real estate full time since February of 2020 (oh what a fun month that was). I joined Sixth Street Realty in June of this year, and it has been a fantastic 6 months helping the wonderful Josh Pruitt get his brokerage off the ground and I couldn't be happier or more excited about my time here.
I hope you have a great holiday season and I will see you all in January when we've all given up on our New years resolution already!
Get in Touch
We're here to assist with all your real estate needs! Let us know your situation and we'll get back to you ASAP!