In October, active listings in the Austin-Round Rock-San Marcos metropolitan statistical area (MSA) rose by 9.3% to a total of 11,599, increasing the region’s months of inventory to 5.1 months, according to the latest Central Texas Housing Report from Unlock MLS. This represents a rise of 0.5 months compared to October 2023. The report also noted an average close-to-list price ratio of 92.7%, suggesting that buyers have more opportunities to find affordable homes despite high interest rates, while sellers still have room for negotiation.
Clare Losey, Ph.D., housing economist for Unlock MLS and the Austin Board of REALTORS®, emphasized that mortgage rates are the primary factor affecting home sales. “Mortgage rates averaged 6.4% in October with signs pointing to them remaining in the low-to mid-6% range as we head into 2025, even with the Fed’s second rate cut last week,” she stated. She added that buyers hoping for a significant drop in rates might face a long wait and that sellers need a more aggressive pricing strategy due to current market conditions.
Kent Redding, president of Unlock MLS and ABoR for 2024, discussed the recent market correction towards healthier inventory levels and balanced conditions in Central Texas. He addressed media reports characterizing the local housing market as overly dramatic: “News headlines that characterize the Central Texas housing market as ‘ground zero’ are an extreme over-exaggeration.” He pointed out that Austin had previously led both state and national records in home price growth and sales during the pandemic but acknowledged that such rapid growth was unsustainable.
Redding also highlighted Central Texas as a desirable location for families and businesses: “Central Texas remains a desirable and sought-after location for families and businesses alike, with real estate remaining as the most powerful long-term investment and the greatest driver of generational wealth.” He advised having a trusted REALTOR® to navigate current market conditions effectively.
For further details or to access the full October 2024 Central Texas Housing Report, visit ABoR.com/MarketStatistics.
Unlock MLS has been providing comprehensive real estate data for nearly six decades across Central Texas’s 18 counties. It emphasizes transparency, data integrity, and accessibility in home buying, selling, and renting processes through its partnership with approximately 20,000 real estate professionals.
