Austin Housing Market Update: July ‘12By
Austin custom home builders anticipate market growth in the coming months as single-family housing inventory continues to decline and demand for homes increases. Nationally, housing starts rose for a fourth consecutive month in June to an annual rate of 539,000 units, a 6.9 percent increase over last June. This represents the fastest pace since April 2010. National Association of Home Builders (NAHB) Chief Economist David Crowe remains confident in the national housing market as he states, “This is one more piece of evidence that housing is starting to take back its traditional role of leading the nation out of recession, and tracks with our forecast for continued improvement in new construction through the end of this year.” Things are looking bright from the national point of view, but “How’s the local market,” you ask?
A recent article in the Austin American Statesman proves Austin to represent one of the leading real estate markets in the nation thanks to “a healthy housing inventory, a continued increase in home sales and a 23 percent decrease in homes’ days on the market,” says Leonard Guerrero, Chairman of the Austin Board of Realtors. Single-family home sales in June totaled 2,593 compared to 2,107 in the same month last year. Home listings are down 20 percent, and registered pending sales are up 15% to 2,424, in relation to last June. A large contributing factor to the recovering market in Austin is the extremely low 30-year mortgage rate. All of these factors led to a 23 percent rise in home sales during the month of June, making 13 consecutive months of the increase in home sales.
At Sterling Custom Homes, we’ve been saying for months that it’s a buyer’s market. We are finally beginning to see a change in the trend as factors “indicate that Austin has emerged as a seller’s market,” says Guerrero, as the median price of homes went up 7.5 percent in June, making it five straight months of median price increases. Strike while the iron is cost effective and continue to move forward with the plans for you Austin luxury homes today.