AUSTIN, Texas – The median sales price of homes in Texas reached $274,300 in the first quarter this year, an increase of 13.4% over the same period last year, according to the 2021-Q1 Texas Quarterly Housing Report released today by Texas Realtors.
“The demand for housing in Texas remained strong despite the winter storm in February and the pandemic,” said Marvin Jolly, chairman of Texas Realtors. “With a low supply of homes for sale, though, prices in most areas have gone up significantly, and competition among buyers has increased as well.”
During the first quarter of this year, 84,464 homes were sold in Texas, jumping 10.1% compared to the first quarter of 2020. One-third of homes sold were in the $200,000-$299,000 price range, the largest percentage of any price range.
Luis Torres, Ph.D., a research economist with the Texas Real Estate Research Center at Texas A&M University, commented, “Depleted inventory is the greatest challenge to Texas’ housing market, pushing up prices at elevated rates as demand remains strong, making it one of the most competitive housing markets for homebuyers since the 2006-07 housing boom.
Rising mortgage rates in 2021 combined with recent rapid price growth will slow demand and, consequently, price growth to more sustainable levels.”
Active listings declined 53% from last year and stood at 43,542 homes for sale at the end of the first quarter of 2021. Homes spent an average of 47 days on the market before going under contract, which is 20 days less than the first quarter of 2020.
The average total time from hitting the market until the sale closed was 87 days, down 13 days from the previous year. Housing supply in Texas decreased from 3 months in the first quarter of 2020 to 1.3 months of inventory in the first quarter this year.
Chairman Jolly concluded, “Many homes are attracting multiple offers and selling for thousands above asking price. Price plays a key role in winning offers, of course, but other considerations can come into play as well. Realtors have been helping their buyers and sellers sort through their options to help them achieve their real estate goals during a market that presents some unique challenges.”
In Hays County, March home sales steadily increased 5.4% to 412 sales, and sales dollar volume increased 44.7% to $194,169,038. The median price for homes increased 25% to $350,000. During the same period, new listings increased 10.9% to 538 listings, while active listings fell 78.1% to 180 listings. Compared to March 2020, pending sales increased 34% to 509 pending sales. Housing inventory decreased by 2.0 months to 0.4 months of inventory.
City of Austin
In March, the median sales price in the city of Austin jumped 24.8% to $514,000 – an all-time high for any month on record for the city of Austin. Residential sales increased 11.6% to 1,137 sales and sales dollar volume increased 46.1% to $755,212,253. At the same time, new listings ticked up 1.4% year over year to 1,420 listings while active listings dropped 66% to 449 listings. Pending sales climbed 55.4% to 1,420 pending sales as monthly housing inventory decreased 0.9 months year over year to 0.4 months of inventory.
In Travis County, residential sales increased 12.4% to 1,785 sales, while sales dollar volume rose 50.3% to $1,204,798,018. The median price for residential homes increased 24.1% year over year to $490,000 as new listings declined 3.9% to 2,143 listings. Active listings plummeted 73.1% to 669 listings and pending sales skyrocketed 51.4% to 2,149 pending sales. Monthly housing inventory fell 1.1 months year over year to 0.4 months of inventory.
In March in Williamson County, residential sales increased 10.6% to 1,206 sales, and sales dollar volume climbed 52.9% to $533,395,535. The median price increased 40.4% to $400,000. During the same period, new listings ticked down 0.7% to 1,359 listings, while active listings tumbled 85.6% to 260 listings. Pending sales increased 32.3% to 1,360 pending sales. Housing inventory declined 1.5 months year over year to 0.2 months of inventory.
In March, Bastrop County home sales increased 83.2% to 163 sales, and sales dollar volume skyrocketed 104.8% to $51,605,144. The median price for residential homes ticked up 5.8% to $276,000. During the same period, new listings declined 8.9% to 133 listings, while active listings fell 81.1% to 63 listings. Pending sales increased 61.5% to 147 pending sales. Housing inventory decreased by 3.0 months to 0.5 months of inventory.
In Caldwell County, March home sales increased 27.6% to 37 sales, and sales dollar volume climbed 57.4% to $12,406,269. The median home price increased 10.1% year over year to $250,000. During the same period, new listings fell 2.9% to 33 listings, while active listings dropped 67.4% to 30 listings. Pending sales jumped 45.8% to 35 pending sales. Housing inventory decreased 2.5 months year over year to 1.0 months of inventory.
Data for the Texas Quarterly Housing Report is provided by the Data Relevance Project, a partnership among local REALTOR® associations and their MLSs, and Texas REALTORS®, with analysis by the Texas Real Estate Research Center at Texas A&M University. The report provides quarterly real estate sales data for Texas and 25 metropolitan statistical areas in Texas. To view the report in its entirety, visit texasrealestate.com.
With more than 140,000 members, Texas REALTORS® is a professional membership organization that represents all aspects of real estate in Texas. We are the advocates for REALTORS® and private property rights in Texas. Visit texasrealestate.com to learn more.