It’s finally happened: the Austin metropolitan area’s population has surpassed 2 million people. Most of us are not shocked. Merge onto I-35 at literally ANY time of day and you will experience the boom first hand.
Austin has been the fastest-growing region in the States for four years running. Between Williamson, Travis, Hays, Caldwell, and Bastrop counties, we are gaining about 60,000 new residents annually. Projections estimate that by 2030, we will reach 3 million in the five counties.
While traffic is more of a headache thanks to the boom, the local economy has no reason to complain. According to a comprehensive study by WalletHub, Austin ranks first of the large-city rankings for fastest-growing economies, with Texas cities Fort Worth and Corpus Christi keeping us company. Out of 20 cities of any size, Austin still ranks high at #9, with our neighbor Round Rock nestled close at #10. Bryan, Texas is also there at #8, making it the only thing Aggies have beat us at since they left the Big 12 with their tails between their legs in 2011.
But what does that mean for the Austin housing market?
With so many people coming in, there’s bound to be a surge in pricing with fewer and fewer affordable options available…right?
Not quite. According to the latest Multi-Indicator Market Index—a propriety survey backed by Freddie Mac—Austin has the second-most stable housing market in the country. With a composite score of 96.6, Austin is in a very healthy medium that means we aren’t set for a decline or the threat of a market bubble.
In October, Austin-area single-family home sales increased for the fifth consecutive month. This increase can be credited to our strong employment rate partnered with a developing population. The average price for single-family home is up 7% to $333,452. For more on the numbers behind the Austin housing boom, check out the October 2015 Market Report provided by the Austin Board of Realtors.
Barb Cooper, the 2015 president of the Austin Board of Realtors agrees that while the stable housing market is great for business, there are issues we need to address in order to keep the situation strong.
“We need to find ways to give more Austin-area homeowners access to that stability by increasing our density, preserving our existing housing stock through stronger code enforcement and creating more affordable housing options.” (via Austin CultureMap)
With the population projections showing no signs of slowing down and the housing market at its most stable, people interested in investing in real estate should get the ball rolling soon. If the statistics stay true, this may be the most affordable time to buy for years to come.
Questions about the Austin real estate market? Ironrock Properties can answer any queries you have on investments, taxes, leasing, and management so you can make the most of investing in Austin real estate. Call us today at (512) 807-7000.