What can Austin Sellers and Buyers expect this summer? Well, it’s going to be a long hot summer. Here’s what I mean.
1. Buyers can expect fewer homes to look at in the summer of 2018.
Across the nation we have been experiencing declining inventory since 2015. Here in Austin we have only a 2.75 month supply of homes. Consider that a normal market has a six month supply and you’ll understand why buyers are struggling to find homes.
In the under $250,000 price range it’s not uncommon for Sellers to receive multiple offers and for buyers to find they are competing with other buyers.
2. Sellers and Buyers can expect prices to continue to rise this summer.
Price is driven by supply and demand. The robust buyer demand and the scarcity of inventory continues to drive our Austin prices up. Last week the average Austin home sale price was $389,000.
You’ve got to have a pretty good income to even afford an average priced home in Austin. Expect prices to continue to go up. Good news for Sellers. Not so good news for buyers.
3. Some sellers will start feeling the impact of new home construction competition this summer.
New home starts have already reach the highest levels on record. And, if you bought your home in the the last 2, 3, or 4 years and are trying to sell now, your biggest competition may be your builder. Especially if they are still building in your neighborhood or even nearby.
Builders have rushed in to fill the gap between supply and demand. Some Sellers are feeling pinched.
4. Austin Home Sales will be extremely strong this summer.
We’ve already experienced record high sales in January, February, and March. I’ll bet we see the same when April’s numbers are released. It’s shaping up to be a strong summer market here in Austin.
So, here we are at the beginning of May 2018. Summer is coming and the market continues to run like a bull.
It pays to work with a knowledgeable REALTOR whether you are buying or selling. So, give me call at 512-516-4666. Dan Forbes, Forbes Property Group, RE/MAX 1, Cedar Park, Texas.
