Photo courtesy of Pall Spera Company Realtors, LLC.
The upcoming holiday season hasn’t slowed down Austin homeowners. According to a recent report released by the research center at Redfin, a national brokerage, Austin homes are the sixth fastest-selling in the country. About 33% of new home listings in Austin went under contract within two weeks in October. This is a big improvement compared to the same time last year, when just fewer than 25% of new listings went under contract within two weeks. The most recent market report released by the Austin Board of Realtors supports these findings. October statistics show that 12% fewer active listings were present on the market in October 2013 compared to 2012. There were also 8% more pending listings this year than last year for the same month. It’s no shock to Austin residents that homes in the area are selling quickly.
What’s causing Austin homes to sell so quickly? Experts at Redfin say homebuyers aren’t waiting until after the New Year to purchase a home, even if that means moving during the holiday season. October saw some of the lowest mortgage rates of the year. 2014, however, could bring higher home prices and mortgage rates, among other factors that could affect the home buying process. Most buyers today are also more prepared and better qualified to purchase a home. These factors enable them to purchase a home more quickly. The winter months of the year tend to be the slowest for the real estate market, but buyers are wary of the higher competition that typically comes in the spring. For Austin specifically, the continuous influx of new residents to the area means the demand for homes is higher than ever. Competition for a home in Austin is steep even in this slow season and spring could bring even greater competition. Prudent buyers are seeking to buy a home now before the market speeds up in the New Year.
Two other Texas cities also made the list of the fastest-selling markets in the country. Dallas ranked at number four while Houston came in behind Austin at number nine. Two California cities, San Jose and San Francisco, tied for first place with about 50% of homes going under contract within two weeks. Boston edged out Dallas for the number three spot and Las Vegas barely pushed past Austin for the number five spot with just about 34% of homes going under contract within two weeks. Rounding out the top ten were the cities of Seattle, Washington, D.C. and Los Angeles. In Austin’s fast-paced market, it’s important for buyers to be prepared to move quickly to secure their dream home. If you have any questions about buying or selling a home in Austin, don’t hesitate to contact us today.