February 2025 - Austin-Round Rock-San Marcos MSA Real Estate SALES Market Update
The Austin-Round Rock-San Marcos metro area continues to experience shifting trends in its housing market. In February 2025, key indicators suggest a cooling market, with declining prices and sales but increasing inventory and active listings. Here’s a breakdown of the latest data and what it means for buyers and sellers.
Market Overview
Median Sales Price: $430,000 (⬇ 3.9% YoY)
Closed Sales: 1,856 (⬇ 6.5% YoY)
Sales Dollar Volume: $1.05 billion (⬇ 4.9% YoY)
Months of Inventory: 5.7 months (⬆ 1.3 months YoY)
Average Close to List Price: 93.5% (Compared to 93.6% in Feb 2024)
Key Trends
Declining Home Prices & Sales
The median home price fell by 3.9%, indicating a shift towards a more buyer-friendly market. Fewer closed sales (down 6.5%) and a decrease in sales dollar volume (down 4.9%) suggest reduced buyer activity and possible price corrections.
Rising Inventory and Active Listings
New Listings: 3,826 (⬆ 6.5% YoY)
Active Listings: 10,235 (⬆ 16.7% YoY)
Pending Sales: 2,452 (⬇ 5.0% YoY)
With new and active listings rising, buyers have more options. The increase in inventory to 5.7 months indicates a move towards a balanced market, giving buyers more negotiation power. However, pending sales dropping by 5.0% suggests some hesitation from buyers amid market uncertainty.
Longer Days on Market
Homes are taking slightly longer to sell, with an average of 82 days on the market—an increase of one day from last year. This trend suggests buyers are taking more time to make decisions, which could lead to further price adjustments.
What This Means for Buyers & Sellers
Buyers: With more inventory and stabilizing prices, now may be a good time to negotiate better deals. However, with interest rates playing a role, evaluating financing options remains crucial.
Sellers: Pricing strategically is key in a market with increased competition. Expect longer selling times and be prepared for negotiations on price.
Final Thoughts
The February 2025 data suggests a shift towards a more balanced real estate market in the Austin area. While prices and sales have dipped, increasing inventory and longer market times present new opportunities for buyers. Sellers should adjust expectations and be strategic in pricing and marketing their homes.
For those looking to buy, sell, or refinance in Austin, staying informed on market trends is crucial. If you need expert guidance on real estate or mortgage options, feel free to reach out!