US News & World Report has ranked Austin the Number 1 Best Place to Live in the United States in 2017. It is no wonder, then, that the real estate market in Central Austin continues to show strong gains. Here are five residential trends to know in Central Austin based on recent market data and reports.
1) NEW CENTRAL AUSTIN HOME CONSTRUCTION MORE THAN DOUBLES IN 5 YEARS
Central Texas is one of the region’s largest and fastest-growing regions in the country. The number of new homes entering the Central Austin market more than doubled from 2011 to 2016, according to data provided by the Austin Board of Realtors. More than 550 homes were built in 2016 compared with 167 in 2011. So far in 2017, 255 homes were built between January and May. And more is yet to come as Austin grapples with the obvious demand for housing. Earlier this year, Austin City Council adopted the Strategic Housing Blueprint, which recommends the city add 135,197 housing units by 2027.
2) 78704 IS THE HOTTEST CENTRAL AUSTIN AREA TO BUY A HOME SO FAR IN 2017
Since January 2017, the most homes in Central Austin have been sold in the 78704 ZIP code. The area south of Lady Bird Lake, which includes the Zilker, Bouldin Creek, Galindo, Barton Hills, South Congress, Travis Heights, Dawson and South Lamar neighborhoods, had 333 homes sold from January to May this year. Median home prices in 78704 have jumped from $469,161 in 2015 to $539,600 in 2017, according to ABoR data.
The second-hottest market was the East Austin ZIP code of 78723, which includes Mueller and Windsor Park.
3) MEDIAN PRICE OF CENTRAL AUSTIN HOME JUMPS $200,000 OVER 6 YEARS
Statistics from the Austin Board of Realtors show the median price of a Central Austin home reached $490,000 in May 2017, a nearly $205,000 increase from May 2011.
This rapid upward shift in price range of residential real estate available within Austin is due in largest part to rising property values and housing development costs.
4) 4 AUSTIN NEIGHBORHOODS MAKE TOP 50 U.S. LIST FOR MOST NEW APARTMENTS
The neighborhoods of North Burnet, downtown Austin, Zilker and University Campus ranked 19th, 22nd, 44th and 49th, respectively, on the nationwide analysis of new apartment units that have come online since 2010. North Burnet has added 2,739 units since 2010.
5) NEW REPORT FINDS AUSTINITES NEED TO MAKE $23 AN HOUR TO AFFORD A 2-BEDROOM APARTMENT
A report released by the National Low Income Housing Coalition found that to afford a two-bedroom rental apartment, Austin-Round Rock MSA residents need to earn $23 an hour. That’s $47,840 per year in income, or more than three times the state’s minimum wage of $7.25.
The average rent in the Austin-Round Rock MSA and Travis County is $1,195 a month for a two-bedroom apartment and $799 for a one-bedroom apartment.
data provided by Community Impact Newspaper Volume 9, Issue 9