Austin Real Estate Market Overview
Inventory levels across the Austin-Area MLS continue to climb, signaling that the market remains in a prolonged adjustment phase. As of this week, active residential listings total 17,784, up 10.2% year over year. Months of Inventory has expanded from 5.49 to 6.11, an 11.1% increase, indicating that supply is outpacing buyer demand. In the City of Austin, the trend is even more pronounced: listings have jumped 14.0%, reaching 5,693 homes, while Months of Inventory has climbed from 5.94 to 6.75, a 13.5% increase. This sustained inventory growth continues to tilt market conditions in favor of buyers, offering more negotiating power and longer windows to make informed decisions.
Austin Housing Prices: Mixed Signals in a Cooling Market
Pricing data reveals a mixed picture, with modest gains in averages but continued pressure on the middle tier. Across the Austin-Area MLS, the average list price is now $592,399, up 3.05% year over year, while the median list price has declined 1.5% to $438,283. On the sales side, the average sold price has risen 3.4% to $575,600, while the median sold price has dropped 2.3% to $425,000. This widening gap between average and median values underscores a market where higher-end sales are sustaining averages, but overall affordability remains a headwind for the broader buyer pool.
Within the City of Austin, prices have held steady. The median sold price remains unchanged from last year at $585,000, and the median list price is flat at $599,000. Meanwhile, the average sold price rose 4.6% to $782,708, and the average list price increased 4.9% to $811,586. These gains are concentrated at the higher end, while the middle of the market continues to face more pricing pressure and slower absorption.
Regional Trends: Price Gains Narrow as Correction Deepens
The broader Central Texas region remains in correction territory. Of the 30 cities tracked, 14 (47%) showed month-over-month price increases, while 15 (50%) experienced declines. On a year-over-year basis, 40% of cities posted gains and 60% declined. Importantly, none of these cities have surpassed their peak values from the past 12 months, reinforcing that while some stabilization is occurring, most areas remain in a downward pricing cycle.
At the ZIP code level, 43 of 75 (57%) showed monthly price gains, while 30 (40%) posted monthly losses. Year over year, 47% of ZIP codes are up, and 53% are down. Only 2 ZIP codes have exceeded their price peak from the past year, confirming that most submarkets remain in a rebalancing phase, well below their highs.
List-to-Sale Price Performance: Buyer Leverage Grows Amid Softer Closings
Pricing negotiation continues to define the current market cycle. So far this month, 68.5% of homes have sold below asking price, up from 65.89% last month. 18.8% of properties sold exactly at list price, and 12.7% closed over asking—down slightly from 13.22% this time last year. The average sold-to-list price ratio now sits at 97.18%, reinforcing that sellers are routinely conceding on price. For sellers, precision pricing and strong presentation remain essential, while buyers are capitalizing on expanded inventory and pricing flexibility.
Peak Value Trends: Market Recovery Still Trails 2022 Highs
Although current prices are holding relatively steady month to month, they remain well below historic peaks. In the Austin-Area MLS, the average list price peaked at $713,539 in April 2025 and now stands at $618,376—a 13.3% decline. The median list price is down 14.4% from its May 2022 peak of $539,900, now at $462,000. The average sold price has dropped 10.8% from its May 2022 high, and the median sold price is down 18.4%, from $538,000 to $438,933. Price per square foot metrics show deeper corrections: average is down 18.8%, and median is down 23.2%.
The City of Austin reflects similar declines. The average list price has fallen 14.5% from its April 2025 high of $947,871 to $810,055, and the median list price is down 12.4%, from $659,000 to $577,500. The average sold price is off 9.1% from peak, and the median sold price is down 13.5%, from $680,000 to $588,500. Both average and median price per square foot have fallen by approximately 20%, highlighting the depth of the correction from the market’s highs.
