How Competitive is the Austin Housing Market Right Now?

If you’ve been following Austin real estate, you know the market has had its ups and downs over the past few years. From the red-hot seller’s market of 2020-2022 to a more balanced market in 2023 and 2024, buyers and sellers alike are wondering: How competitive is the Austin housing market right now?

The short answer? It’s competitive, but not as intense as it was a couple of years ago. Let’s break down what’s happening, what it means for buyers and sellers, and what to expect moving forward.

1. Is Austin Still a Seller’s Market?

A seller’s market happens when demand outweighs supply—meaning homes sell fast, bidding wars are common, and prices rise. While Austin was heavily in a seller’s market during the pandemic, things have cooled slightly, and some areas are now more balanced.

• Homes are sitting on the market longer than they did in 2021-2022
• Buyers have more negotiating power in many areas
• Sellers are offering more concessions, like rate buydowns or closing cost assistance

That said, certain neighborhoods and price points—particularly those under $500K or in highly desirable areas—still see strong demand and competition.

2. Key Market Indicators in Austin Right Now

To gauge market competitiveness, we look at a few key indicators:

📉 Days on Market (DOM)

• Homes are taking 60+ days on average to sell, compared to just 7-14 days in the peak market of 2021.
• However, well-priced homes in sought-after neighborhoods can still sell within a couple of weeks.

🏡 Inventory Levels

• There are more homes for sale than during the peak seller’s market, giving buyers more choices.
• But compared to pre-pandemic years, inventory is still relatively low, keeping competition alive in certain areas.

💰 Price Trends & Negotiation Power

• Home prices have stabilized—some areas have seen modest price drops, while others remain strong.
• Buyers can negotiate more than before—seller concessions (like covering closing costs or offering price reductions) are becoming more common.

3. Who Has the Advantage: Buyers or Sellers?

For Buyers:

✅ More negotiating power than in previous years
✅ Less competition in certain areas (fewer bidding wars)
✅ More inventory = more choices

🚨 Challenges:

• Mortgage rates remain high, impacting affordability
• Some areas (like affordable suburbs or hot in-demand neighborhoods) are still competitive

For Sellers:

✅ Homes are still selling, especially if they’re priced correctly
✅ Some areas still see multiple offers, but not as frequently as before

🚨 Challenges:

• Overpricing a home can lead to longer time on market
• Buyers are being more selective, so homes need to be well-presented and move-in ready

4. What’s Driving Competition in Austin?

Austin remains a high-demand market due to a few key reasons:

💼 Strong Job Market

Austin continues to attract major tech companies like Tesla, Apple, Google, and Samsung, bringing in a steady influx of professionals looking for housing.

🏙️ High Relocation Rates

People are still moving to Austin from California, New York, and other high-cost areas, keeping demand relatively strong.

🏡 Limited Affordable Inventory

While there are more homes for sale than before, truly affordable homes under $400K are still in short supply, making competition fierce in that price range.

5. Should You Buy or Sell Right Now?

✅ It’s a good time to buy if:

• You’re planning to stay in Austin long-term (5+ years)
• You’re financially prepared and can afford current mortgage rates
• You want to take advantage of lower competition & more negotiating power

✅ It’s a good time to sell if:

• Your home is in a high-demand area or price range
• You’re pricing competitively and willing to offer some incentives
• You’re moving to a more affordable market or downsizing
• Your current space just isn't working for you anymore (real estate is always about meeting a need, not timing a market)

Final Thoughts: What to Expect Moving Forward

Austin’s market is still competitive but far more balanced than it was a few years ago. Buyers have more choices and negotiating power, while sellers who price strategically can still do well.

Looking ahead, expect the market to remain active but not overheated, with mortgage rates and economic conditions continuing to shape affordability.

👉 Want to stay updated on Austin’s housing market? Follow along for real estate insights, local trends, and expert strategies to help you navigate your next move!