Austin Housing Market Interest for Second Homes Collapses

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This was partly due to the drop in Americans moving to the city, according to Redfin.

The decline of migration to Austin, Texas, has contributed to the plunging of second home purchases in the area, according to real estate platform Redfin.Mortgages in the city for second homes fell 62.5 percent in 2023, the most across the country, as rising costs of properties and residents who moved into the area during the pandemic migrating back to their places of origin were blamed for the drop.

'Austin's housing market slowed substantially across the board last year as the pandemic migration boom waned and housing costs climbed too high for many locals,' Redfin noted on Monday.ViewsThe housing market has struggled under the weight of elevated prices and high mortgage rates. These twin forces have depressed activity as prospective homebuyers balk at the potential high monthly mortgage payments they may have to incur if they purchase property under current market conditions.

 

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