AUSTIN (KXAN) — The May housing report produced by the Austin Board of Realtors shows home prices in Central Texas have continued to rise, but inventory is also starting to go up.
“The Austin region saw dangerously low levels of inventory, as low as 0.4 months of inventory in January 2021, so this slight increase in inventory and active listings point to the market beginning to normalize,” Dr. Adam Perdue, a research economist at the Real Estate Center at Texas A&M University, said. “While year over year price increases will continue to remain high, we project them to fall slightly lower than the long-term trend we’ve monitored over the past two years.”
Perdue also said the data does not point to a market collapse but instead reflects a “supply issue” due to the number of people moving to the Austin-area.
“Historically Austin has not built enough housing to keep up with the demand of the market,” said Cord Shiflet, this year’s ABoR president. The group will host a housing summit to address just that next month, they said in a release.
The report shows that in Central Texas in May, the median price of a home rose nearly 20% year over year, tying April’s record of $550,000. Homes spent an average of 15 days on the market.
Meanwhile, active listings went up nearly 150% from this time last year, pushing inventory to 1.2 months of inventory compared to the 0.7 months from last May. That’s good news for buyers who have struggled to find a home in the tight market these past few years, the ABoR president said.
City of Austin May housing data
The number of homes sold in May went down by 10%, according to ABOR, but the median home price went up nearly 20%, setting an all-time record at $667,000 in the city of Austin.
Inventory for the month of May is at 1.0 months of inventory; a healthy market is considered 6.0 months of inventory.
Travis County May housing data
Home sales went down in the county, but like Austin, the median home price rose. The median price went up more than 21% year over year to $659,000. The county is at 1.2 months of inventory.
Williamson County May housing data
The median home price in Williamson County went up 18.5% to $509,000. There were 1,692 new listings last month in Williamson County, an 11% increase year over year.
There is 1.1 months of inventory in Williamson County.
Hays County saw an increase in home sales in May at around 5%. The median home price jumped up to $470,000 and inventory rose to 1.7 months.
You can find the full May market data report here.