July ’24 Stats Review: Market Remains Sluggish in Part Due to the Election

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Key Highlights

• Mortgage Rates & Job Market: High mortgage rates and a sluggish job market continue to weigh on the Austin market. However, the Federal Reserve is expected to start easing rates this fall, which could provide much-needed relief. While we anticipate mortgage rates will improve, the job market may take longer to respond.
• Price Stability: Year-over-Year (YOY) decreases in both the average and median sold prices were minimal, indicating that prices are stabilizing. This trend suggests we could finish the year with relatively flat appreciation or depreciation.
• Seasonal Slowdown: Fall and winter are traditionally slower periods for the market, and this year will likely be no different. Expect a seasonal slowdown until we approach Q1 2025.
• Election Year Impact: As with most election years, uncertainty tends to slow the market, and 2024 is no exception. The upcoming election is expected to keep the market cool, with potential buyers and sellers taking a wait-and-see approach.
• Pent-Up Demand: Despite the current sluggishness, the slow market is building pent-up demand. We anticipate a stronger market once we move past the current economic cycle.

Market Charts

Let's jump into some charts that illustrate these trends:

Average & Median Sold Price: Both average and median sold prices show minimal YOY decreases, highlighting the market's current stability.

New Listings by Month: New listings are slightly down compared to last year, contributing to the overall cooling of the market.

Job Postings: Job market softness is evident, with a steady decline in job postings over the past year.

Withdrawn/Expired Listings: Withdrawn and expired listings have increased, a sign of seller hesitation in a slower market.

If You’re a Buyer:

2024 has been a challenging year for buyers due to high mortgage rates, but relief could be on the way as the Fed is expected to ease rates this fall. While the market is slow, this period may offer opportunities to negotiate better deals. Remember, the current market is building pent-up demand, so acting sooner rather than later could position you well for the anticipated market rebound.

If You’re a Seller:

The market is slower, but that doesn’t mean you can’t sell. Pricing and strategy are more critical than ever. With fewer buyers actively looking, it’s important to price competitively and make sure your property stands out. The seasonal slowdown could mean longer days on market, so patience and preparation are key.

Our goal as your trusted real estate advisors is to provide you with the information you need to help you reach your investment goals.??

As always, real estate is hyperlocal and extremely situational, so please reach out to discuss your specific situation. We’d love to help you and strategize what’s in your best interest.

Cheers,

Jen