Steiner Ranch Housing Report -2023 Year-End

If you are looking to buy or sell a home in Steiner Ranch, contact me via email or at 512-650-7300. Previous editions of How’s the Market in Steiner Ranch are also available.  If you prefer to read instead of watch, here are the chart and transcript.

Welcome to the 2023 Year End edition of "How's the Market in Steiner Ranch.”  First, I want to remind you that all of these figures are for resale homes only.  The new construction homes in The Retreat, the final section of Steiner Ranch, are not included.  But I am happy to say that the last of those new construction homes sold in November, so Steiner is now built out. 

In 2023, 157 homes closed in Steiner Ranch which was down 9.8% from 2022. The median price of a resale home decreased 12.9% to $816,000, the average price decreased 9.6% to $994,696, and the average price per square foot decreased 10% to $299.92.  In real estate, the bellwether measurement for home prices is the median price so when we talk about the price of homes in Steiner Ranch for 2023, we’ll say that the prices decreased about 13%.  To be clear, that doesn’t mean that the prices fell 13% from the start of 2023 to the end of 2023.  That 13% drop is based on all the sales throughout 2022 compared to all the sales in 2023. Remember that the first five months of 2022 were very strong with higher prices so that impacts the overall 2022 sales figures to which we then compare to 2023.  *I mentioned that the number of sales was down 9.8% to 157 homes. In order to find a lower number of sales, we need to go all the way back to 2004 – of course, Steiner was just a fraction of the size back then so it’s not even a true comparison.  Part of the reason is that fewer homes were listed for sale in the neighborhood– just 214, a drop of 20% from 2022.  But why were fewer homes listed?  The biggest reason is the mortgage rates. Most people have mortgage rates somewhere around 3 or 3.5% range. If you moved to a different house, you’d need to get a new mortgage that would likely be twice that interest rate.  Most people who sold in 2023 had a compelling reason to sell – a new job out of town, maybe the unfortunate situation of a divorce or a death, but something that required the house to be sold.  Another factor is property taxes. Because of the 10% cap we have with the homestead exemption, many of us are paying property taxes on values much lower than market. If you move, you’ll also see your property taxes get reset to the market value which again raises your monthly costs.  That’s why many people weren’t looking to sell last year.  I expect that we’ll see a similar effect continue through 2024.

Last year, the sale prices in Steiner ranged from a low of $473,000 to a high of $6,500,000.  That $473,000 was the only sale under half a million. To put that in perspective, in 2020, there were 97 homes that sold below $500,000.  As for the $6.5 million, that was the highest price ever paid in Steiner, but that record is not going to last long. *The average sales price to list price ratio was 97.5%. That is the lowest since 2011 when we hit 96.3%. For homes that closed in 2023, the average days on market was 48, up from 27 last year.  Both of the last two stats just show the softness of the 2023 market compared to prior years.  One interesting stat is the percentage of homes purchased with cash as it was at 20%. This was down from the prior two years, but higher than pre-pandemic norms of 15 to 18%.  I thought that given the higher interest rates, we might see a boost in the higher percentage of homes purchased with cash, but really it was a rather mixed result. 

In previous years, I would predict how many homes would sell in Steiner Ranch and at what median price, but I think I’m going to end that this year other than to say I expect we’ll sell more homes and that prices will increase.  I certainly have an idea of where the market is heading on a short-term basis, predicting a year out is kind of a fools errand.  Obviously, I’ll continue to provide you with the current market stats and interpret them for you.  And if you’re a client, we’ll talk more in-depth about what factors may move the market and in which direction.  Ultimately, most people want to know if it’s a good time to buy or sell.  But my answer to this is always the same and has been since I started selling real estate in 1999. It depends upon your situation. Some people should buy now and some should sell now.  Others need to wait a while. I’m happy to visit with you about your personal situation.  If you are thinking of buying or selling in Steiner Ranch in 2024, I would love the opportunity to earn your business.

To find out why I am consistently one of the top real estate agents serving Steiner Ranch and how you can use that to your advantage, text or call me at 512-650-7300 or email me at [email protected].  Thanks for watching “How’s The Market in Steiner Ranch.”

Statistics based upon information from Unlock MLS for the periods cited.

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