Available homes for sale under $500,000 in New Braunfels trails behind available rentals

As the number of homes for sale in New Braunfels in January declined by 30.73% compared to January 2021, median home prices have continued to rise, according to data collected by Four Rivers Association of Realtors.

Although total homes sold decreased year over year in January, the city’s median sales price rose 26.83% to $351,690. In January 2021, a total of 151 homes sold compared to 120 sold in January 2022.

Easton Smith, a real estate salesperson with Keller Williams Realty, said the rising prices and lack of availability have contributed to a significant shift in housing options in the city.

“The sales-to-rent market inverted this week for the first time in 40 years,” Smith said during a Feb. 14 New Braunfels City Council meeting. “That means there are more houses on the market to rent than there are for sale under $500,000.”

As of Feb. 10 there were 52 homes available for rent under $500,000 and 42 homes available for sale in the same price range, he said.

Of the homes available for rent, Smith said 26 cost over $2,000 per month and 26 cost less than $2,000 per month.

“It takes $72,000 of annual income to qualify for a $2,000 a month rent,” he said. “The median income for New Braunfels is $71,044, so the average person currently doesn’t qualify for the $2,000 a month rent.”

Multiple housing developments are under construction or anticipated to begin construction soon in New Braunfels, many of which will include both rental and for-purchase properties.