Seasonal Real Estate Trends in Austin (Spring, Center: for sale, leasing, credit) - Texas (TX) - City-Data Forum

Exiled Texan · 08-31-2008, 02:36 PM

I've heard that in Austin, people mainly list in the spring aiming to move in the summer. Is that true? Seems like nothing interesting has been put on the market in a while. Wondering if there is going to be a bit of a dearth until spring.

Are sellers also only selling if they actually have to?

I'm talking more about the 500K-1m range. I'd suspect the 200K-400K range has better turn over.

centralaustinite · 08-31-2008, 04:24 PM

Ha! I've trying to sell all summer in the 400-500 range and it is pretty dead. In central Austin the only houses selling are those below 399, particularly those below 250.

Historically the peak selling season has been between March and August. I've been told that August is generally slow. September should pick up. But as you know, this is not a normal year! The credit crunch is still going on right now. Loans are hard to come by, particularly jumbo and anything where all income isn't documented.

Yes, I'd say that if people don't have to sell, they aren't putting it on the market. Volume of sales has fallen, and price drops usually come after volume drops. We don't have to sell and will probably pull our house off the market in the next 30 days or so.

Right now, there just aren't many buyers. I've seen homes where people clearly have to sell (already bought somewhere else, out of town) the home has been on the market for a year plus and now the price has dropped (I'm talking from 617 to 499) but still no buyers.

There is a lot of inventory out there in Austin above 850 and most of it is just sitting. If you can buy, you should get a good bargin, but nothing out there suits you, I doubt that dozens of new homes will be coming on. A few maybe.

Exiled Texan · 08-31-2008, 06:32 PM

centralaustinite-

Thanks for your thoughts. They confirmed my assumptions. I think I'm just going to have to get lucky with a good estate sale or something in the next 12-18 months. I'm not in love with what is on the market, or I think the seller's are unrealistic.

Problem is, I have been looking at rentals and they are rather pitiful. We are great renters.....neat, fabulous credit, fantastic references, nice furniture (for potential showings towards the end of our term), will likely take care of the place just as well if not better than an owner. The stuff out there on the rental market is not so nice. Not a place I'd want to celebrate Christmas with my family. KWIM?

How do I tap into the "nice" rental home market? We are looking to move in December. In about a month I may try to start contacting owners who have had places listed for a long time. Worried their sellers agent won't pass along the message though.

AustinTraveler · 09-01-2008, 07:51 AM

Have you looked at AustinHomeSearch for homes to lease? Here's an example:

Listing Details (http://www.austinhomesearch.com/Search/Details.aspx?li=59853&or=2&cp=1 - broken link)

centralaustinite · 09-01-2008, 08:09 AM

Exile, if you find something you like, even if you think that the price is unrealistic, in this market, I'd go ahead and make an offer at your price! See what happens.

As far as nice rentals, I'm surprised you aren't finding any. Like AustinTraveler I use Austin Home Search to look at rentals. (I also use them to keep tabs on homes for sale). There are some nice homes in the Jester area for rent. I know of a pretty elaborate home in NW Hills that was on the market for a long time in the 9-850 range, then on the rental market for 3000! It is rented now though. But it was a large, completely redone house with a pool.

Are you working with an agent? They should be able to help you find a nice rental. Also, if you find a house that you like, or in a great location but crazy over-priced, see if they want to rent it. Particularly the speculator-built empty homes, those carrying costs add up, some (not all) might jump at leasing it for a year or two.

good luck.

austin-steve · 09-01-2008, 06:01 PM

The number of sales drops off after August, as the number of buyers decreases. When someone calls me to list between Sep-Mar, I always ask if they absolutely must sell or if they can wait. It's better to list after March and before Aug, when possible. Most of America moves during the Spring/Summer, so it makes since that there is less demand in the Fall/Winter.

Can you get better deals? In a word, yes, you should be able to, but only if the seller absolutely must sell. Many have a backup plan, a bottom dollar, or the option to rent the home.

Here is a chart from the Texas A&M Real Estate Center that shows monthly sales in Austin over the past three years.

Exiled Texan · 09-01-2008, 06:41 PM

Thanks all. In October we will probably fly down for a full court press. We should know what our NYC sold for by then.

Honestly, I'm not in love with anything on the market. Either on a too busy street, awkward floor plan, only 3 bedrooms, overpriced for the reno needed, too close to Mopac, frontloader, will not buy (or rent) a place with a pool due to safety reasons, etc. A hope that something better will come on the market this fall is waning. You guys are reinforcing that thought. Hence, my focus on renting.

I don't want to rent the Ritz, but I want it someplace nice, well maintained, and homey. Anyone with kids who believe in Santa can relate to a desire to have a nice home for Christmas morning. Really don't want a huge rental as we are used to living in 1200 square feet. School district is key to a rental as who knows whether we will be in it come Fall 2009 when my daughter starts Kindergarten. I have a few properties I've ruled out buying due to certain reasons that I'd be willing to rent. We'll see if an owner is willing to rent.

Centralaustinite, your price point is our rental price point. Looking for a fantastic renter?

Traveler, saw that house. Way too far out for me, but thanks.

AustinTraveler · 09-02-2008, 07:52 AM

Quote:

Centralaustinite, your price point is our rental price point. Looking for a fantastic renter?

What exactly is your price point for renting? You sound like you want to be closer to downtown and that you don't need a big house. There are some great neighborhoods close to downtown where the houses definitely aren't huge and just about none of them have pools. I'm sure you could find a nice rental in one of those neighborhoods.

Tarrytown is an option and your child would attend Casis Elementary, which is supposed to be a very good school. Here's a nice rental:

Listing Details (http://www.austinhomesearch.com/Search/Details.aspx?li=63524&or=2&cp=4# - broken link)

centralaustinite · 09-02-2008, 08:12 AM

Centralaustinite, your price point is our rental price point. Looking for a fantastic renter?

Thanks! I have been a landlord before, I know how important good renters can be. I'm very close to downtown and in a great energy efficient house but the public school is not highly rated. And we don't want to rent, we need the down payment money for a new house from this house and we won't over-extend ourselves with a home equity loan etc.

Your insistence on no pool will limit your options. Many many higher end homes in Austin (particularly to the NW) have pools. When we began our home search, I was the same way -- absolutely no pools -- but I have now come around. My kids are like fish and love to swim as does my husband and he needs the exercise. Our main requirement now is that the yard is big enough for a pool and has plenty of space to play. We are really in the market for a great backyard more than a house.

Tarrytown and Clarksville as well as Pemberton and Old West Austin do not have as many pools. All close to downtown. Tarrytown and Pemberton will have bigger yards.

Good luck. And there does seem to be a flare of interest right now. After a quiet August we had several showings over the weekend and two people who are "talking" about an offer. (Put it on paper is what we are saying!)

Exiled Texan · 09-02-2008, 06:14 PM

Traveler- Thanks. That is a possibility and right within our price point for renting. I have my eye on something similar on a less busy street that I'm going to lobby to rent it.

Centralaustinite- Thanks anyway and good luck. Honestly, pool is non-negotiable to rent. If I bought a home in spite of the pool, we'd dig it up until the kids were older. Could probably only stomach doing that to an old pool.