Updated Market Dashboard

Yesterday I updated www.AustinMarketDashboard.com with newly available final data for October 2009.  A detailed explanation is included there, but for the purposes of this brief comment:

• October listing inventory continued to decline from September.
• Home sales (units) were basically flat for the third consecutive month.
• The percentage of active listings sold continued to climb for the third consecutive month.
• Average and Median sales prices declined slightly from the previous month.
• Average time on market for Sold properties:  71 days — very respectable, indicating a market that is still moving.

All of these circumstances are fairly typical for this time of year.  As noted previously, year-to-date sales are down from last year, even with the impact of the first-time homebuyer tax credit, but the Austin Metro area continues to fair better than most of the country.

Consider this 1-Month Market Snapshot (10/24/09-11/24/09):

• 8,053 active listings / 1,498 one-month sales = 5.4 months’ inventory – “balanced” market conditions, or slightly favoring sellers.
• 1,986 pending contracts = 1.3 x monthly sales – demand remains stable.
• Average sale price $241,214, Median $182,733 – also generally stable.

Home sales have increased around the country over the past couple of months, and that is great news.  The trade-off for strong sales in most areas was substantial decay in home values.  Even better for those of us in Central Texas:  our home values have not declined over the past couple of years as many other metro areas have reported, and home sales have remained relatively strong nonetheless.  We can expect seasonal changes in the real estate business, as in most businesses, and that’s what we’re seeing so far.  Will there be a “cash for clunkers” sort of market dip when tax incentives end?  I believe so, but our market remains fundamentally strong.  As I noted in another recent post, we have even continued to add jobs at a higher rate than local population growth.  That and the continued trend for businesses and individuals to relocate to our beautiful area will continue to keep us moving forward.

As we all sit down for a Thanksgiving feast on Thursday, we should be thankful for being here — mild climate, vibrant and diverse culture, healthy economy, and the grand variety of the Central Texas environment!  (And a HUGE football game between UT and Texas A&M!  Hook ’em!!!)