The Austin-American Statesman published a story yesterday, “A closer look at what’s selling in Austin.” This is a big question on potential seller’s minds. Sure, you want to get in on the great deals on the buyer’s end with amazing interest rates, but will you take a hit selling your current home?
My advice is in a move-up situation, you’re getting ahead of the game. Not only are you getting bigger savings on the home you’re buying than any losses in the home you’re selling, but you’re also able to lock in amazing interest rates (saving you much more for years to come).
But what pockets in Austin are holding up the strongest to today’s economic fears? The Statesman reports that the market is still slow moving, great for buyers, frustrating for sellers. What IS selling are those properties under $400,000. The lower prices have less risk, and this is probably an area were professional investors and flippers are able to best take advantage of the sluggish market without over-extending themselves. The median sales price in November was $180,000, well within reach of many novice flippers and investors who are willing to weather this storm to make a few bucks.
The Statesman also reports that on the high-end, northwest Travis county is holding the strongest. On the low-end, it is little surprise that “fixer-uppers” are dominating, again likely with those hoping to take advantage of the current economic and emotional climate.
In the end, it appears that those who are so afraid to loose money will likely end up losing the biggest as their fears inhibit them from taking advantage of this rare Buyer’s Market in Austin’s home market.
