Austin's Housing Market 'Busting' as Troubling Milestone Reached

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Housing inventory continues to grow in the Texan capital, where it reached a new cycle high last month.

Housing inventory for sale in Austin, Texas, reached a new cycle high last month at 10,913, according to a recent ResiClub report, and is now 41 percent above pre-pandemic levels—a new milestone that some experts are interpreting as a bad omen for the city.The metropolitan area of Austin-Round Rock-Georgetown Texas, had 7,727 homes listed for sale in June 2019; this is according to an analysis of Realtor.com active listing data made by ResiClub journalist Lance Lambert.

A drastic slowdown in the number of people moving to Austin after the end of the pandemic and a cooldown of its overheated market has caused dramatic price drops in the city between late 2022 and early 2024.From November 2022 to February 2024, the city reported 16 consecutive months of falling prices year-over-year, according to real-estate company Redfin; as of March, prices started to climb back compared to a year earlier, though they remain below the pandemic peak of $667,000 in May 2022.

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