The median single-family home in the Austin metro sold for $475,000 in April 2021, up 46.2% year over year. Closed volume was 3,083 homes, up 30.8% year over year. The average sale closed at 110.1% of list. Homes took a median of 24 days to sell. That made it an extreme seller's market.
Austin market statistics, April 2021
| Metric | April 2021 |
|---|---|
| Median sale price | $475,000 (+46.2% YoY) |
| Median price per sq ft | $226 (+42.1% YoY) |
| Homes sold | 3,083 (+30.8% YoY) |
| New listings | 3,960 |
| Active inventory | 4,002 (-33.5% YoY) |
| Months of supply | 1.3 |
| Median days on market | 24 |
| Sale-to-list ratio | 110.1% |
| Sold above asking | 75.0% |
| Listings with a price cut | 8.0% |
| 30-year fixed rate (avg) | 3.06% |
75% Over Asking: The Top of the Frenzy
Seventy-five percent of homes sold above list in April 2021, the highest reading in this entire ten-year series, and the median was up 46% year over year. Twenty and thirty offers on a house was routine. I do not expect to see this again, and I am not sorry about that.
What changed since March 2021
The median rose $43,000 from March 2021, a 10.0% move. Time on market shortened by 3 days, to 24. Active inventory grew by 719 listings, to 4,002. The share of homes selling over asking gained 10.8 points, to 75.0%.
One month is noise. The reason to read it anyway is that direction shows up in inventory and days on market well before it shows up in price, so the months where those two disagree with the headline number are the interesting ones.
Where this month sits in the cycle
| April 2021 | March 2021 | April 2020 | Since Oct 2016 | |
|---|---|---|---|---|
| Median sale price | $475,000 | $432,000 | $325,000 | highest since Oct 2016 |
| Median days on market | 24 | 27 | 17 | range 16–58 |
| Active inventory | 4,002 | 3,283 | 6,017 | range 2,660–7,969 |
| Months of supply | 1.3 | 1.1 | 2.6 | range 0.9–3.8 |
| Sold above asking | 75% | 64% | 31% | highest since Oct 2016 |
| 30-year fixed rate | 3.06% | 3.08% | 3.31% | range 2.68%–4.87% |
The right-hand column is the range this series has covered since October 2016. No forecast in it, just where April 2021 falls against every month that came before it.
If you are buying in Austin right now
At 1.3 months of supply there is no version of this where you take your time. Be fully underwritten before you tour, not pre-qualified, underwritten, with income and assets already verified. Decide your ceiling in writing before you see the house, because you will be asked to decide in a day.
75% of homes sold above asking. Assume list price is a starting bid, and ask your agent what the last five comparable sales actually closed at versus what they were listed at.
The average sale closed above asking, at 110.1% of list. Offering under list was, statistically, not a strategy that month.
The payment math. At $475,000 with 20% down at 3.06%, principal and interest runs about $1,614 a month. Add roughly $792 for property taxes and $317 for insurance and you are near $2,723 a month all in. Texas has no state income tax and this is where the state collects instead, budget the tax line from day one, not as an afterthought.
If you are selling: you have the leverage, and the mistake available to you is overpricing into it anyway. Homes were selling in 24 days. A listing that sits three weeks in this market has told every agent in town that something is wrong, and you will end up taking less than if you had priced it right on day one.
Neighborhood in focus
Deep South Austin (78745). Cherry Creek, Garrison Park, Manchaca. Known for value, access, first-time buyers. It fits first-time buyers and young families.
The metro numbers above are an average of a very unequal city, Deep South Austin does not move in lockstep with Kyle or Leander, and the gap between ZIPs widens in exactly the months the metro looks calm. There is a longer, more honest write-up at /neighborhoods/deep-south-austin/, including what is wrong with it.
On in Austin, April 2021
| When | What | Why it matters to a listing |
|---|---|---|
| Apr 25 | Austin Marathon, Downtown / central | Postponed from February to April this year. Road closures across downtown and central Austin from early morning. |
What is coming next
Proposition B on May 1. Q2 Stadium opens in June.
Common questions
How long are homes taking to sell in Austin?
A median of 24 days in April 2021. That is the number to watch if you only watch one, days on market turns before price does, in both directions. For reference, since October 2016 this measure has ranged from 16 days in May 2016 to 58 in January 2019.
What are the best neighborhoods in Austin for families?
It depends on what you are optimizing for, and anyone who answers without asking is selling you something. Broadly: Circle C, Steiner Ranch and Avery Ranch for space and schools; Mueller, Crestview and Brentwood for walkability with a yard; Westlake and West Lake Hills for Eanes ISD if the budget reaches; Hyde Park and Bryker Woods for older homes near central. There are honest write-ups of nine of these at theaustinlocalgroup.com/neighborhoods, including the parts that are not flattering.
Is it a good time to buy a house in Austin?
Depends entirely on your timeline. At 1.3 months of supply you are competing, paying up, and giving up contingencies. If you need to be in a house this year, you buy and you accept the terms. If you can wait, understand that you are paying a premium for urgency.
How much are property taxes in Austin?
Combined city, county, school district and community college rates in the Austin area generally land between about 1.8% and 2.5% of assessed value, and higher inside a Municipal Utility District, where 3%+ is possible. There is no state income tax in Texas, and property tax is the trade. Two things every buyer should do: file a homestead exemption by April 30 of the year after you close, which caps annual taxable value increases at 10%, and check whether your target address sits in a MUD or PID before you finalize your budget.
Part of a retrospective series on the Austin market, one post per month since 2016, compiled from the historical record. This edition covers April 2021; every figure is as reported for that month, and nothing in it looks past it.
Source: Redfin Data Center metro market tracker: single-family, Austin-Round Rock-San Marcos metro, not seasonally adjusted. Mortgage rates are the monthly average of the Freddie Mac Primary Mortgage Market Survey 30-year fixed rate. Payment, tax and insurance figures are estimates for illustration and are not a quote. Median sale price is not a guarantee of value for any specific property.
Written by Mike Vilece, a licensed Texas real estate agent with Compass in Austin. If you want the version of this that applies to your street and your budget, ask me directly.