Austin’s April housing market continues to show signs of balance. Here’s a look at the data to understand pricing and buyer activity.

Posted by your local VA real estate expert, Kyle McClelland.

Austin Housing Market

To succeed in today’s market, it’s crucial to adopt fresh tactics and strategies. Partnering with a local, VA experienced agent and staying up-to-date with the latest market trends in your area can help you make informed decisions that set you up for a successful future.

Austin’s April housing market continues to show signs of balance. Home prices increase, pending sales remain robust, and properties are selling closer to their list price. This blog dives into the latest data and market trends, offering a glimpse into what the coming months may hold.

Let’s review the key highlights of the Austin’s April housing market in April 2023:

  • The number of homes for sale increased by 206% compared to the previous year, providing homebuyers with more options and opportunities.
  • The average days on the market decreased by 9 days from last month to 71 days, but is up by 53 days compared to a year ago.
  • The number of new listings entering the market decreased by 10% compared to a year ago, and decreased by 6% compared to last month.
  • The number of homes under contract fell by less than 1% compared to a year ago, but increased by 7% from last month indicating sustained buyer demand.
  • The number of homes sold declined by 18% compared to a year ago, however, since January 2023, sales have steadily increased month over month, reflecting the market’s resilience. 
  • Monthly inventory levels reached 3.2 months compared to 0.8 months in April 2022. 
  • Median home sale prices decreased by 15% year over year to $466K, however, home prices have been rising over the past two months after they reached their low point at $436K in February 2023.

Over 8,000 homes are for sale and over 4,000 homes have reduced their price in the past 30 days.

Austin Housing Market
Source: Austin Board of REALTORS®, Austin-Round Rock Metropolitan Statistical Area.

Is the End of Home Price Decline in Sight?

In the past two months, home prices in Austin have shown consecutive growth. Countering previous predictions of a 20% national price drop. In February 2023, Austin home prices reached their lowest point at $436K. Experiencing a year-over-year decline of 15%. However, since then, prices have started to rebound, reaching $466K in April 2023. This upward trend brings hope for potential sellers in our market.

Have you been waiting for home prices to stabilize before making a move? It may be a good idea to consult with a local Austin VA real estate expert to determine if now is the right time for you.

Austin's April Housing Market
Source: Austin Board of REALTORS®, Austin-Round Rock Metropolitan Statistical Area.

The Role of Home Price Moderation in Austin’s April Housing Market

The decline in home prices that began in May of 2022, can be attributed to various factors. These factors include inflation, increasing mortgage rates, concerns about a potential recession, and stress within the banking system. However, this moderation in prices has had a positive effect by counterbalancing the affordability challenges caused by fluctuating mortgage rates. It has created opportunities for more buyers, especially veterans and first-time home buyers, to enter the market. Furthermore, the stability of mortgage rates and projected improvements in 2024 contribute to a favorable outlook for affordability.

Impact of Mortgage Rates

Per Freddie Mac‘s Primary Mortgage Market Survey, the 30-year fixed-rate mortgage averaged 6.39% as of May 18, up four basis points from last week’s 6.35%. The same rate averaged 5.25% a year ago at this time. Experts predict further rate reductions in the coming months, aligning with the anticipated economic slowdown and the Fed’s planned adjustments. This creates a favorable environment for prospective buyers.

 “We continue to expect that mortgage rates will drift down over the course of the year as the economy slows, as we move closer to the Fed lowering rates beginning in 2024, and as financial market volatility finally begins to settle down,” said Mike Fratantoni, chief economist at the Mortgage Bankers Association.

Buyer Activity and Market Conditions in Austin’s April Housing Market

Despite the fluctuating mortgage rates, buyer activity has been on the rise. Pending sales have seen a notable 7% increase compared to the previous months. Although there is slightly more inventory available, the underlying demand remains robust. 

Tom Thornton, Southwest Agent Success Manager at Realty Austin, noted, “Agents are witnessing heightened interest in open houses and receiving more showing requests, which are positive indicators of a healthy and accelerating buyer demand as we enter the month of May.”

Strong Job Market Fuels Homebuyer Demand

The latest labor market data from the Texas Workforce Commission and the U.S. Bureau of Labor Statistics highlights Austin’s impressive job growth and resilience. Over the past 12 months leading up to April, Austin added a remarkable 51,100 jobs. Resulting in a growth rate of 4.1% and ranking seventh among the top 50 metros. This indicates a thriving job market in the city.

By April 2021, Austin had fully recovered all the job losses experienced during the pandemic. Thus securing the top spot for job growth since February 2020. Notably, the leisure and hospitality sector saw the fastest job growth at 11.7%. Followed by the wholesale trade industry at 6.5%. Austin’s seasonally adjusted unemployment rate is 3.1% in April and improved from 3.2% in March. Compared to the state and other major Texas metros, Austin’s unemployment performance has consistently remained strong. With a significant portion of the population enjoying stable employment and financial security, many individuals are considering purchasing a home.

Seize the Opportunity: Time to Sell

“If you’re considering selling your house, the continued activity of buyers in the market this year should be encouraging. It’s a clear indication that there are potential buyers out there who might be interested in a home like yours,” advised Amanda Dudley, North Agent Success Manager at Realty Austin.

The intense housing market frenzy influenced by the pandemic has subsided, which means it’s important for sellers to adjust their expectations and understand that selling a property may take longer, offers may or may not exceed the asking price, and bidding wars have cooled off. It’s crucial to remember that real estate is highly localized and can vary significantly by specific area.

“The months of April, May, and June traditionally represent the prime time for selling a home. As we navigate through these peak home selling months, it’s advisable to seek guidance from a real estate expert who can help you navigate the current market conditions,” recommended Jennifer Korba, Central Agent Success Manager at Realty Austin.

Whether you’re a buyer or seller, military veteran or not, understanding the latest trends and market conditions empowers you to make informed decisions. Contact your local Austin VA Realtor to embark on your real estate journey and achieve your goals at 512-850-1198 or email

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Austin's April Housing Market