Spring is already entering our rear view mirrors, and the housing market in Austin and throughout the United States is heating up ahead of the most active buying and selling season.
A lot of the growth is in the suburbs, where there are often more affordable options for first-time buyers. And that’s especially pronounced in Texas where suburban growth in Austin, San Antonio, Dallas and Houston has accelerated even more in the past year or so.
Though perhaps at a slightly slower pace, suburbs across the nation have shown similar trends. And, in our monthly real estate news round up, you’ll also learn about the childhood home of President Donald Trump. It’s an exceptional story of return on investment.
Now, let’s check out the top real estate news stories of the month.
Who’s Growing Fastest? Texas is Full of Competitors
We’ve noted the tremendous growth in home sales and new home construction going on in the communities just outside of Austin city limits. And, now, new Census data confirms that the Austin area has been sprawling at a rapid pace. New figures estimate the Austin metro area’s population grew by 2.9 percent in 2016. Dripping Springs proved to be the fastest-growing city in the Austin area, with 650 new residents — that’s 26.3 percent growth, the Austin Business Journal reported. As you might expect, a lot of that growth is being driven by rapidly growing property values in Austin as demand has skyrocketed as the city’s tech-based economy has continued to expand.
Austin’s Housing Market Poised for a Big Summer Selling Season
Just as we started entering the most active season for real estate deals of the year, Austin showed signs it could even exceed the big numbers from last year. Active listings in the metro area climbed by nearly 17 percent compared to April 2016. And the pace of sales also increased. The 3.2 percent year-over-year growth shows a lot of potential for this to be one of the most active next few months on record. Time will tell. Get all the details in our residential real estate report.
Owning a Home is Cheaper than Renting One
The U.S. housing market continues to reward those who decide to own a home rather than rent. Though housing prices continue to climb faster than incomes, recent data shows owning is still the best option. That said, there’s a lot of demand and not a lot of supply for affordable homes, especially for those first-time buyers who are trying to make a smart investment. CNBC reported homes listed below $100,000 fell by 17 percent in April compared to the same month in 2016. And homes priced below $250,000 also slipped — this time by 6 percent. The dynamic tends to be most pronounced in hot cities like Austin, New York and Houston.
President Trump’s Childhood Home Sold… for a Big Price
President Donald Trump is one of the world’s most well-known symbols of wealth and power. But his childhood home, by comparison, is quite modest. The New York home was auctioned off for $1.4 million last year and then flipped for $2.14 million in late March, CNN reported. You probably wouldn’t think too much of it if you drove by it in a nice neighborhood without knowing its history. The Tudor home in Queens has five bedrooms, four and a half bathrooms and a two-car garage.
Where Are the Big Bucks? New Starter Homes
With rising prices, the most interested homebuyers are often sidelined by the lack of affordable first steps. But the Wall Street Journal reports that’s a big opportunity for builders. That means there are already signs big time builders are shifting attention from luxury developments, which have been the fastest-growing segment for several years, to first-time homes.