As cities throughout Central Texas see strong demand for housing products, reports from local real estate groups show Cedar Park and Leander are near the top of the pack of cities putting housing options on the ground.
Metrostudy, a company that provides data on residential construction and the housing market, provides quarterly market reports on the Central Texas real estate market. Vaike O’Grady, the Austin regional director of Metrostudy, said the Cedar Park and Leander area has been seeing a high number of housing starts, or construction getting off the ground, and closings, or the number of homes sold, in the first quarter of 2018.
“[Leander and Cedar Park] is still one of our stronger markets,” she said. “At the end of the first quarter, it was No. 3 for housing starts and closings, ranking just behind Pflugerville and Kyle/Buda.”
Area Realtors say demand for the housing products coming online in the two cities continues to be strong. According to May numbers from the Austin Board of Realtors, the number of homes available in the Cedar Park and Leander areas would sell out in less than three months if no new housing products were added to the market. Matt Menard, a broker and co-owner of Austin Real Estate Experts, said a housing market is in equilibrium at about six months of supply.
“[The Cedar Park and Leander] areas are still somewhat hyper-competitive right now,” he said. “Right now the supply [of homes] is well below equilibrium, and demand is outpacing that.”
According to ABoR’s numbers, Cedar Park had 1.8 months of housing inventory in May, while Leander had 2.9 months of inventory. The Austin-Round Rock Metropolitan Statistical Area, which includes Bastrop, Burnet, Caldwell, Hays, Travis and Williamson counties, had 2.7 months of inventory in May.
O’Grady said buyers will begin to see fewer options for new single-family products in Cedar Park, which has been growing close to build-out. Those searching for homes will see plenty of construction for single-family options happening in Leander, which has more land available.
She said the market overall has been adding more townhomes, duplexes and condos in an effort for builders to serve a buyer who needs a more affordable price point.
More local real estate trends:
Buyers in Cedar Park and Leander see competition for starter homes
Increase in apartment options led to flat rental rates in Cedar Park and Leander
More existing homes available in Cedar Park; New home construction in Leander prevails
Homes on smaller lot sizes coming on the market in Leander and Cedar Park