Austin New Home Sales Hit Annual Record Levels Amid Pandemic

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Data from each of the 4 major cities in Texas ..

Austin was not alone in this success as annual highs also were recorded in Dallas-Fort Worth, Houston, and San Antonio. Austin home builders also saw a surge in pending sales and fewer Days on Market for new homes sold in August.


https://patch.com/texas/downto...

Thanks Neil! I'd love to hear more anecdotal evidence from you and other Austin MSA agents in the forum about what you're seeing with respect to demand, inventory, and if you think this momentum will continue into the Fall and Winter when historically, sales tend to slow down.

I don't see the momentum slowing down unless people stop moving here and the supply increases.

- last 6 leases i have done are all people moving here from outside

- last 6 offers i made all went into multiple offers 

Agreed @Neil Narayan This market is red hot! I don't see it slowing down anytime soon. There simply isn't much inventory to match the demand. Builders are trying to build as fast as possible. The elephant in the room is lumber prices. If lumber prices stay high then we will see even more of a shortage of housing as builders margin's will make some projects not feasible. If that happens we can expect to see even more of a price jump. 

@Mike De Lota , as everyone else so far has said, anecdotally everything has been hotter than ever, but I'd personally recommend against putting too much stock in any anecdotal information. For one thing, everyone commenting here, including me, has an incentive in making this market look as attractive as possible. In this case, however, the data very much backs up what everyone is saying.

Whenever I see a demand surge I try to look at job creation trends in the area. If new jobs are being created it justifies demand otherwise it’s all speculators and late stage investors.

So the big Q is what is driving this demand?

@Neil Narayan piggy backing off of the topic - only 8 metros have had full recovery (full employment or better, real estate sales and values positively trending, and a good GDP) since 2010 and four of those metros are the Metros you have listed

@Justin Thorpe pre-march Austin had 60,000 vacant tech jobs and almost 120,000 net new jobs are to be added through 2023. When these tech companies relocate, their entire ecosystem of providers move with them unlike growth from other industries.