Central Texas is on pace for continuing to exceed record-setting home sales in 2020, and Austin, TX ended 2019 at an all-time high. There are many reasons why the Austin area is booming and why real estate is in high demand, but all of these trends may point to a reason for local homeowners to consider selling their Austin property. Within Austin’s city limits the number of home sales and the median price were the highest on record in October 2019. Sales climbed 14.5% with 835 home sales, and the median price was $405,000, a whole 8.9% higher than it was in October 2018. The only constant in the real estate market is change, and trends are constantly evolving as new data and statistic become available. Let’s take a look at the top 10 reasons to sell your Austin house now, based on local market trends and advice from our team of real estate professionals.
- You’ll Turn a Profit
If you have lived in your home for more than a couple of years, then chances are that you’ve built up some great equity as the value of your property has increased over the years. The more equity you have in your home, the more profit you will see when you sell your home. This means that you can take that money and use it for a larger down payment on your next home, invest a portion of the profit in something else, save money for retirement or travel and take care of any additional expenses that may have added up over the years. If you purchased your home post-recession at a historically low price, then you are in an even better position to sell. Whether you’re dreaming of buying a bigger home in a more desirable neighborhood or downsizing and holding on to your money, having significant equity in your current property can only benefit you.
- Demand Is High
It’s no secret that the Austin area has seen incredible growth and change in the last couple of years. The city has always been known for great food, wonderful live music and a welcoming ambiance. The Austin you see today is very different from the Austin from ten years ago – now you’ll encounter endless construction projects and high-rises, new developments promising prominent destinations for dining, entertainment, retail and more. Not to mention that innovative tech companies are constantly announcing a relocation to Austin or opening up secondary offices in the booming city. Big companies like Apple, Amazon and Google have announced major expansions to the city of Austin, which translates to job opportunities, which ultimately attracts new residents in need of housing. Newcomers will create demand for all kinds of housing, whether that be apartments, new homes, resale homes, condos, townhomes and more. The influx of new residents and strong demand for housing combined with low inventory will cause prices to continue to rise, which means home values will also increase and owners who are interested in selling are sure to get a great price for their property.
- Spring is Coming
In many cities, the spring and summer seasons are the busiest for the real estate market, which means that if you’re thinking about listing your home for sale you have some time to get it ready just in time. Experts show that listing your home some time between May 16th and May 31st seems to be ideal and can bring you a little bit of extra cash, and statistics show that your property could also sell about a week faster than at any other time of the year. Additionally, data shows that in every Texas market, the best day to debut a new listing and receive the most amount of attention is Saturday. Before you list your property for sale you should take the time to ensure that it is in great condition to be photographed and to be shown. On average, many sellers will complete at least one home improvement project before listing – this could be touching up the paint, replacing outdated hardware, deep cleaning any carpets, investing in landscaping and curb appeal, professional staging, etc. If you are looking to get the highest sale price possible, now is the time to start thinking about listing your home, preparing your property for sale and listing it just in time for the busy spring and summer seasons.
- Great Opportunity to Buy
If you sell your home for an outstanding price, chances are that you’ll turn a great profit and you’ll have some extra cash to play with as you look to buy your next home. A hot market also means that other owners will feel encouraged to sell their properties and you may quickly come across your dream home!
- Interest Rates are Low
The Federal Reserve cut interest rates three times in 2019 and left them unchanged at the end of December. Rates are expected to remain low throughout 2020, which will be a big help for new buyers who are looking to get financing for a first-time home purchase. Although rates will always fluctuate, almost on a day-to-day basis, prominent economists predict that rates will stabilize around 3.8% for this year, which is low enough to encourage buyers to bravely enter the market. Low interest rates also aren’t just a helpful nudge for would-be buyers to consider buying your home, but as you look forward to your next home purchase then you will likely secure a low interest rate as well, which will help keep your monthly mortgage payments low.
- Austin Prices Expected to Continue to Rise
Numerous news outlets and leading real estate resources have named the Texas capital as the hottest housing market of the year. The vast majority of economists and professionals expect home values in Austin to continue to grow and at a faster pace than the expected national rate. While this may seem worrisome to locals who have yet to enter the real estate market, it is extremely attractive to out-of-towners who are considering making the move to Austin. The city also remains relatively affordable in terms of the cost of living and is an extremely popular area for businesses looking to set roots. There are many tech companies who are also moving their business to Austin in an effort to grow and expand, which is directly tied to attracting young people looking for lucrative careers. As the Austin area continues to grow, thrive and expand we are sure to see a continuous influx of newcomers who undoubtedly will be looking to purchase real estate at prices that are extremely competitive in comparison to other popular cities like San Francisco and Los Angeles.
- New Buyers are Entering the Market
The biggest wave of new homebuyers continues to be millennials, and most of them are all first-time homebuyers. In some parts, you may even see members of the youngest generation, Generation Z, starting to enter the market – these are individuals born between 1996 and 2010. While many of them are still very young to make up a significant portion of the homebuyer market it is not entirely impossible to come across them as potential homebuyers.
- You’ll Close Quick
One of the biggest challenges in the housing market has been how long it takes from opening escrow to closing. As the market continues to heat up banks will be inundated with loan inquiries, which can cause these closing timelines to get even longer. If you sell your home now, before everyone else does, you will enjoy a quicker and more simple closing experience.
- You Don’t Know What 2021 Will Bring
As we mentioned earlier, the only constant in the real estate industry is that it is always changing and evolving. You may have heard stories about a potential recession that is being predicted this year, and the truth is that for the rest of the country many markets are seeing a slow-down in real estate sales. There’s no need to worry about a massive housing crisis like the one that took place in 2008-2009, but home values do and will take a dip during economic uncertainty. In Austin, TX it looks like the market will remain strong, and experts predict big gains for the next couple of months, however we don’t know what 2021 will bring. If you’re playing around with the idea of selling your home now is the time to do it, while you are guaranteed to turn a profit. If you wait too long, you could miss out on getting the highest price for your home, as well as potentially finding your next dream home as other homeowners are also motivated to sell their properties.
- It’s a great time to buy in Bryan-College Station, TX
Did you know that the distance between Austin and College Station, TX is only a 2-hour drive (106 miles)? The Brazos County area has so much to offer, and home prices are lower than they are in the Austin area. If you sell your Austin home for top-dollar, you will be able to afford some incredible properties in the most desirable luxury neighborhoods in Bryan-College Station. To learn more about local real estate opportunities explore our current listings or contact us for more information!