Austin area home sales rose dramatically in March — up 27 percent — compared with the same month last year, while the median price of buying a home was unchanged, the Austin Board of Realtors reported Tuesday.
The median price for a single-family home in Central Texas was $180,000 in March, the same as March last year. Home sales for the month totaled $422 million with 1,784 single-family homes sold, according to the Multiple Listing Service (MLS) report by the Austin Board of Realtors.
“Though we’ve seen increases in year-over-year sales volume consistently in recent months, it’s likely this substantial increase in volume is related to the impending expiration of the homebuyer tax credits on April 30,” Austin Board of Realtors Chairman John Horton said in a statement.
“What’s most encouraging, however, is that in the midst of this increase in sales volume, our real estate values have remained steady, which bodes well for the long-term value of real estate in Austin.”
Condo and townhouse sales were particularly strong in March 2010, increasing 129 percent to 215 sold in comparison with March 2009. Horton said the market has experienced a sustained demand increase for condos and townhouses since September 2009.
“A softer condo market at the beginning of 2010 provided a good opportunity for buyers, and we are now seeing the results with an increase in activity,” Horton said.
“Condos can be attractive properties for first-time homebuyers, so it’s possible this increased demand is also related to both the first-time homebuyer tax credit, as well as an increased supply of condos in Austin in recent years.”
March 2010 also marked the second consecutive month of substantially decreased “days on market,” which refers to the average time homes remain active in the MLS. At 73 days for March 2010, homes spent 16 percent fewer days on the market than in March 2009.
Sales figures have climbed month-to-month this year, spurring hope the market is recovering. A total 1,145 Austin area homes sold in February 2010, up 4 percent from the same month in 2009. That was up from 884 homes sold during January, a 5 percent increase from January 2009.
Still, Horton is cautiously optimistic looking toward April’s sales.
“These statistics indicate that demand is continuing to outpace supply, which is encouraging,” Horton said. “However, no one really knows the full impact of the homebuyer tax credits yet, so we’ll look ahead to this summer to determine the sustainability of these conditions.”
