Lets take a look at the resale versus new construction market in the most common price point in the Austin real estate market, the $250,000 – $500,000 segment. Many buyers that are looking to purchase fall between these price ranges making for a competitive market. Most of the inventory available on the market is currently in between $250,000 and $500,000. Currently the average price in the Austin market is $327,140. There are also currently just over 6,000 single family residence on the market with over 50% of them falling within the $250,000 – $500,000 price point.
By taking a look at what is available in this market we found that of the approximately 3,000 homes available, half were just recently built as new construction. A majority of the home buyers tend to look at the resale market, which in the graph below is those homes built prior to 2018. The resale market in this price segment accounts for 70% of the sales, with only 30% being new construction. The resale market in this price point is very competitive with 1.8 months of inventory on the market. The new construction market has 3.8 to 3.9 months of inventory currently on the market.
As a home buyer if you are not needing to move within the next 30 to 60 days a great option would be to take a look at the new construction market. The advantage is that generally builders will require a lower down payment and also have great incentives that can actually make the cost of purchasing a home less. The new communities that are popping up in the Austin area also have great amenities from trails, pools, community gardens, and a real sense of community.
| Resale versus New Construction | |||||||||||||||
| $250-000 – $500,000 | |||||||||||||||
| Date | Actives | Pendings | Solds | Inventory | |||||||||||
| New | Resale | Total | New | Resale | Total | New | Resale | Total | New | Resale | Total | ||||
| 4/10/2020 | 1537 | 1654 | 3191 | 1091 | 1284 | 2375 | 1194 | 2791 | 3985 | 3.862 | 1.778 | 2.402 | |||
| 4/11/2020 | 1536 | 1702 | 3238 | 1088 | 1263 | 2351 | 1202 | 2828 | 4030 | 3.834 | 1.806 | 2.410 | |||
| 4/12/2020 | 1555 | 1699 | 3254 | 1093 | 1268 | 2361 | 1205 | 2835 | 4040 | 3.871 | 1.798 | 2.416 | |||
| 4/13/2020 | 1555 | 1687 | 3242 | 1091 | 1277 | 2368 | 1191 | 2811 | 4002 | 3.917 | 1.800 | 2.430 | |||
| 4/14/2020 | 1522 | 1673 | 3195 | 1116 | 1267 | 2383 | 1196 | 2827 | 4023 | 3.818 | 1.775 | 2.383 | |||
Lets take a look at some great new construction options in this price range
If you need any additional information please feel free to contact me
Matthew Cornwall
matthew@teamprice.com
(512)221-4652