Austin’s housing supply is rising faster than almost any other major metro in the country, reshaping what had been one of the nation’s most competitive markets.
Active listings jumped nearly 70 percent in the Austin-Round Rock-San Marcos region in June compared to 2019, an increase second only to Denver, the Austin American-Statesman reported, citing Realtor.com. The number of listings wasn’t reported.
The San Antonio-New Braunfels and Dallas-Fort Worth regions cracked the national top five, too, putting the Texas Triangle among the largest U.S. cities that have more active inventory now than before the pandemic. It’s the latest signal that Texas’ residential construction boom has transitioned the biggest cities from overheated markets to more balanced, supply-rich ones.
The surge is helping shift Austin toward a buyer-friendlier environment, giving homebuyers more options and negotiation power after years of tight supply and sky-high prices. Affordability is still a concern. Pending sales and available supply are rising, but prices have yet to fall fast enough to fully balance the market.
Austin’s median listing price was $525,000 in June.
New construction has been key. Through May, 3,889 building permits were issued in the Austin area, while 520 new homes were sold in the first two months of the year, according to Consumer Affairs. The region ranks among the top metros nationwide for new home construction activity.
Further accelerating the pipeline is the rollout of an AI-powered building permit review system. In October, the city of Austin approved a $3.5 million contract with Australian firm Archistar to implement its eCheck software, which partially automates plan reviews and permitting. The city aims to launch the system by the end of September.
That boost could prove critical as demand returns. Cities like Austin, Denver and Nashville that have built heavily in recent years now face longer selling times and rising inventory even as the rest of the country faces a housing shortage of nearly 4 million units.
— Judah Duke
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