Central Texas Housing Report - November 2023
The trend of fewer homes available now versus last year will likely continue for a few more months.
Welcome to the November 2023 edition of "How's the Market in Central Texas.” Before we look at the figures, let me just say that the stats I’m providing are resale homes only in Travis and Williamson Counties. More about the stats at the end.
In October, 1,194 resale homes closed in Travis & Williamson Counties which was down 10% from October 2022. The median price in October decreased 3.9% year-over-year to $479,500. Compared to last month, the median price increased 1%. Since the start of 2023, the median price is up 3%. In real estate, the primary way that we measure home values is with the median price. But, there are other numbers worth examining. Year-over-year, the October average price of a home dropped 2.2% to over $621,110 and the average price per square foot decreased by 6.5% to $287.
The number of available homes in October was 5,615, down 8.3% from last October. The trend of fewer homes available now versus last year will likely continue for a few more months. Essentially, when interest rates increased last spring, the number of available listings shot through the roof. Now, as we compare back to that time frame, we’re seeing that reflected. During October, 1,804 new listings hit the market which was down 12% from last year. Every month this year, the number of new listings hitting the market has been lower than the corresponding month from ‘22. So while demand is down, the fact that we have fewer homes coming to the market has been a good counterbalance.
Last month, the average sales price to list price ratio was 97%. The homes that closed last month with a low price of $120,000 and the high was $11,500,000. For homes that closed in October, the average days on market was 60, up from 42 last year.
In October, mortgage interest rates increased quickly and, for a brief time, were at around 8%. They’ve settled back down to about 7.5%, and I expect we will see further erosion of buyer demand. Of course, this is traditionally a slower time of year anyway, so we’ll likely see a lower number of sales. I believe prices will come down, but not crater. By the end of the year, I expect prices will probably be close to where we started the year, maybe slightly higher or perhaps slightly lower.
If you have any real estate related questions, please don’t hesitate to call or text me at 512-650-7300 or email me at [email protected]. Of course, I’d love to earn your business if you’re planning to make a move in the coming months. Thanks for watching “How’s The Market in Central Texas.”
The stats I’ve cited are resale homes only in Travis and Williamson County classified as single family residential, condominium, or townhouse. This is different than the stats released by the Austin Board of Realtors which include all types of homes and also include Hays, Bastrop, and Caldwell Counties. Plus, their numbers include any new construction homes that are listed in the MLS.