Austin Market Update - August 2025

[David Ivy]

The August 2025 report from the Austin Board of REALTORS® shows a mixed market, with home prices holding steady across both Austin and the greater metro. Prices have now been relatively stable for nearly two years, following the rapid growth seen in prior years. Here are some key highlights from the report, which compares August 2025 with August 2024:

• The median sales price in the City of Austin rose 1.7% to $590,000, while the greater Austin metro increased 1.3% to $444,490, reflecting stable pricing with only slight year-over-year increases in both markets.
• Closed sales were mixed, rising 2% in Austin to 901 transactions, while the metro declined 4.6% to 2,545. Correspondingly, sales dollar volume increased 4.3% in Austin to $696 million, but fell 2.2% across the metro to $1.49 billion.
• Pending sales rose in both markets, climbing 16.3% in Austin and 8.2% metro-wide, signaling potential demand strength heading into the fall. New listings held mostly steady, up less than 1% in Austin but down 2% in the metro. Active listings increased notably, up 11.5% in Austin and 13.0% across the metro.
• Inventory levels continued to rise. The City of Austin now has 6.3 months of supply, up 0.7 months year-over-year, while the metro sits at 5.9 months, up 0.8 months. Both figures are near the 6.5 months that the Texas A&M Real Estate Center considers a balanced market.
• Homes spent slightly longer on the market, with Austin averaging 66 days (up 6 days year-over-year) and the metro averaging 68 days (up 7 days). Sellers received 91.6% of their list price in Austin, down from 92.3% last year, while metro sellers averaged 92.3%, a decrease from 93.3% in 2024.

Here are the August 2025 stats for Austin and the greater metro:

What if I’m a buyer?
This is one of the best markets for buyers in Austin in years. Inventory is at its highest in nearly a decade, giving buyers more choices and less competition. Homes are selling for about 93% of list price, and multiple offers are the exception, not the norm. Buyers have stronger negotiating power, more time to make decisions, and greater flexibility in choosing location and condition. With mortgage rates stabilizing in the low 6s, affordability has improved, and buyers can pursue seller-paid rate buydowns or builder incentives to make ownership more manageable.

What if I’m a seller?
Austin’s housing market still shows solid demand and stable pricing, meaning most homeowners sit on significant equity. However, competition among listings is growing, and buyers are more selective and often expect concessions. Homes now average about 68 days on market, and many see at least one price reduction before selling. Sellers need to price competitively, prepare their homes carefully, and address potential concerns before listing. Well-presented and well-priced properties can still sell quickly, but overpricing risks both time and money in today’s market.