Cost of Downtown condos are going up

AUSTIN (KXAN) - For the first time in the history of the Austin real estate market, the average sale price for a new condominium in Downtown Austin exceeds $1 million.

The Downtown Austin Blog is reporting sales of condos at the Austonian, Four Seasons, Spring Condos and the W Hotel are through the roof.

At 56 stories tall, when the Austonian was built in 2007, it was reported as the tallest residential building in the western United States. Average price per condo was $1.5 million and that price tag did not deter buyers.

"We have seen an increase in price, especially price per square foot, and almost lack of inventory in availability," said real estate agent Josh Baellow.

Baellow said the advantages to downtown living has made the condo market hot.

At the Austonian, Four Seasons, Spring Condos and the W, the average price has averaged over $1 million; 124 units sold with an average size of 1700 square feet -- that means they're spending $600 for a single square foot.

This is the first time it's happened in Austin's market, but with more people moving to Austin and looking for urban living, it won't be the last.

"People buying second homes in condos, we have families buying their primary residence, we have people moving from exterior communities to Downtown," said Baellow.

So what do you get for $1 million? The amenities are endless, the views are priceless and the convenience is king.

"I have an account here, I have room service, I have maid service, I have a 24 hour concierge, and it's a very secure building," said Ken Satterlee, a condo dweller.

And with a low inventory, these million dollar condos could also turn out to be a good investment. Prices are expected to continue to rise with the economy. A view many of these owners can see... right out their windows.