Austin Real Estate Market Update

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Looking for Residential or Commercial Real Estate in the Greater Austin area? Contact Sam Sheikh and let him know ATX Muslims sent you!

May 22, 2024 (based on last 7 days)

Market Update: Analysis of Changes from April 28th to Today - based on MLS Stats:

New Active Listings:
Increase from 1254 to 1312 (+58 listings)

Price Decrease:
Increase from 1512 to 1686 (+174 decreases)

Price Increase:
Decrease from 108 to 91 (-17 increases)

Back On Market:
Increase from 166 to 188 (+22 listings)

Active Under Contract:
Decrease from 576 to 487 (-89 contracts)

Increase from 487 to 525 (+38 pending)

Decrease from 764 to 705 (-59 closed transactions)

Decrease from 177 to 170 (-7 listings)

Expired (Did not sell)
Increase from 61 to 73 (+12 expired listings)

Temporarily Removed:
Increase from 95 to 112 (+17 listings)                                                                                    

The numbers speak for themselves ..There has been a notable increase in new active listings and properties coming back on the market, indicating an increase in seller activity. Price Adjustments: There has been a significant rise in price decreases, suggesting that more sellers are adjusting their expectations due to market conditions as days on market have increased. Conversely, price increases have slightly decreased. Contracts and Closings: The number of properties under contract has dropped, while pending transactions have increased, showing a mixed trend in buyer commitments. (cancelations are on the rise and that maybe because of rather pursing better properties) Closed transactions have decreased, which is a clear indication that the market is slowing down. Overall Market Movement: The slight increase in expired and hold listings indicate some hesitation or challenges (rates) in the market, leading to more properties being temporarily pulled from the market. The light is on its way to the other side of the tunnel for buyers…about to be looking bright!

Sam Sheikh
President | Principal Broker
SpecTower Realty Group

April 1st, 2024 (based on last 7 days)

• 614 new listings popped up
• 438 got price cuts
• 449 under contract
• Over 100 listings removed or expired

• 1,138 properties hit the market
• Prices were reduced on 1,131 of them
• 1,100 went under contract
• 300+ were removed for not selling

Inventory's hovering above 4.5 supply, meaning buyers have more room to negotiate. Despite the buzz to buy ASAP before interest rates dip and prices go up, the market's still sliding down. Looks like this trend will keep up until rates drop below 5%. So, while it's smart to keep an eye on inventory, no need to rush your purchase. The best deal could be just around the corner!

Despite the current downward market trend, Austin mirrors the early 1990s Silicon Valley boom, attracting a significant number of young adults and families from California and other states seeking better opportunities not limited to our community. This demographic shift brings to light crucial community needs in education, retirement, and familial support.

The demand for Islamic schools is surging among the second-generation driven by a search for positive educational settings and dissatisfaction with local high schools. This highlights a broader desire for educational options that are community-focused and aligned with Islamic principles.

Retirees are showing a strong preference for living near mosques, pointing to a need for retirement communities that cater to both their spiritual and proximity needs. Establishing a retirement community endowment in Austin could greatly improve life quality for these individuals, marking it as an essential development.

The trend of downsizing is evident among the 55+ age group, particularly parents facing emptiness syndrome. As their large, spacious homes become less suitable due to their children's busy lives, integrating senior living facilities close to family communities and mosques offers a solution. This arrangement addresses retirees' emotional and spiritual needs while supporting young families, especially with babysitting services.

Austin's tech industry, drawing parallels to the Bay Area's unsustainable growth, is poised to attract more professionals. This necessitates the creation of age-well retirement programs and 55+ communities with healthcare facilities specifically designed for the Muslim community. Such developments present an investment opportunity for retirees looking to use their 401(k)s, potentially averting the trend of seniors moving back to their home countries due to isolation.

As Austin evolves, addressing the diverse needs of its population—including education, retirement living, and intergenerational support—is key to fostering a united, inclusive community.