The cities had 1.7 months of inventory in February, more than tripling compared to 0.2 months of inventory in February 2022, according to ABoR data. In February, homes spent an average of 82 days on the market, while they were on the market an average of 24 days last year in February.
The increase in supply “fuels growing confidence in the market from Realtors and homebuilders” throughout Central Texas, according to the March 16 press release.
“Austin’s housing market is trending in the right direction. Buyers have more options and negotiating power with each passing month, and sellers have more time to make their next move,” ABoR President Ashley Jackson said in the release. “Remember, a healthy housing market isn’t defined by breaking records every month, but by market activity that’s steady-paced and sustainable.”
The median home price in Leander and Cedar Park was $480,500 in February—a 10.19% drop compared to $535,000 in February 2022.
Experts said lower home prices and rising housing inventory signal a stabilizing market.
“With each passing month, homebuilders are gaining more confidence in the stability of our housing market. This is evidenced by fewer cancellations and minimized supply shortages,” said Taylor Jackson, CEO of the Home Builders Association of Greater Austin, in the release. “Additionally, first-quarter sales incentives have remained strong, and for the first time in a long time, builders have a renewed sense of optimism in the direction the market is heading.”
Though the market is cooling and confidence is growing, affordability is still very critical, experts said. Buyers are still being priced out of the market.
“Incentives, down payment assistance programs—anything that increases housing accessibility—are very important right now,” Taylor Jackson said in the release. “Many buyers remain priced out of the market. ... There is still plenty of work to do to address systemic issues in affordability, accessibility, and missing-middle construction, and those should remain our community’s number one concern.”
