Three fresh polls just came out naming Austin, TX number one yet again. The first, from Forbes.com, names Austin the best bargain in the U.S. for homes. The second poll, from Relocation.com, names Austin the best city in America for a fresh start. Third, again from Forbes.com, names Austin as the number one city to which people are migrating.
I don’t mean to sound cocky, but I am proud of our city. We consistently top these types of polls and surveys from publications all over the nation. Its just affirmation for those of us already living in this amazing city. But its also good to know that Austin is still doing well even amid this national recession. We haven’t been hit by the recesison as hard as most of the cities in the country and we’ve been able to maintain a high quality of life for our residents as well.
There was also a piece in the Statesman this morning noting that Austin appears to be coming out of the dip we’ve been seeing for over six months now. Home sales are up and home values were even up 1% over the past year. Compare that 1% growth to many other metropolitan areas that saw double digit declines in value over the last 12 months.
It is truly a good day to be alive in Austin, TX.
Read the articles mentioned in this post by following the links below:
Austin best bargain city in the U.S.
Five cities where Americans are relocating
Statistics show that in a housing downturn, property closer to a city’s center will typically be less effected than property further out. We’ve seen this here in Austin. In 2008 Austin had a net gain of around 2% in property values during a time when much of the country was seeing steep declines. Closer to downtown, we saw an appreciation closer to 5%. Sales have been slow during this period but I think that we are starting to see a new trend emerging. Our office has closed 15 units in the past two weeks while putting another 30 under contract. These numbers are incredible in our current economy but I think that they show two things: 1) There are buyers in this market and 2) The market will always pick up first in areas close to downtown. I have to point out the obvious; that these buyers are only going to purchase if they are getting a “deal”. Some of the condos and homes around downtown were subject to a bubble of sorts in 2007. The prices got a little high for the demand but I do think that those 2007 prices can be achieved again. We need to either increase the size of the market or create more demand (this is coming). We currently have about 500 units for sale right now in the market. This number includes all of the units under construction today. Our absorption rate downtown has hovered right around 300 units per year. If you consider that no other projects could be ready to break ground for the next four years we are going to have a huge shortage of demand real soon. It would seem then, that the people buying now, in what appears to be the bottom of the market, will be rewarded in the longrun.
Bun Run 5K. If casually strolling 6th street downtown is not your thing you could try the Bun Run, also this weekend. This 5K fun run takes place on Sunday and starts at 8:00a.m. The race starts at Auditorium Shores and will presumably work its way around the lake and back to Auditorium Shores. Cost is $25, see more information 