There have been fewer home sales within Austin in the last few years – I don’t think that’s a surprise to anyone. And the under $300,000 price range is seeing the most activity now.
When you see statistics pulled from the Austin MLS, you often see all of the Greater Austin Metropolitan Area included – Round Rock, Pflugerville, Georgetown, Kyle and Buda are in there. I don’t look at these areas further out of town.
I took a look at single family home sales just in the City of Austin – all condos, half duplexes, and houses. I looked at sales closing in April, May and June when the Austin market typically sees some of its higher activity. I’m going to use the $300,000 list price as a cut-off for first time homebuyers – the median price for currently listed homes in Austin right now is $314,900.
The chart above shows that the under $300,000 market shrank more during Q2 in 2008 than the rest of the market. The under $300,000 market is doing much better in Q2 2009. So perhaps the stimulus package is working for first time home buyers.
At a recent real estate conference, Gary Keller described the stimulus package as a way of borrowing buyers from the future. When the tax credit ends in December, it will be interesting to see if the under $300,000 market loses ground.