🤠🏡 Selling Austin #10

Hi y’all! Happy Friday - thank you for being here!

Pay attention to a deal you can’t miss in Bouldin (sneak peak: it just had a $600,000+ price cut - yes, you read that right).

Also, any guesses where the tallest building in Texas will be?

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Let’s go!

WHAT'S INSIDE

• 🔢 THE DATA + 🤠 WHAT’S HAPPENING IN TOWN

• 👀 DEAL OF THE WEEK

• ⁉️ WHAT THIS INFORMATION MEANS FOR YOU

• 🤤 HOUSE WORTH DROOLING OVER

🔢 THE DATA + 🤠 WHAT’S HAPPENING IN TOWN

There has been a lot of talk about Austin’s future since the drop of WSJ’s ominously titled “Austin is Running in Reverse” piece. I’ve had people ask me where I think the Austin market is headed. I’m still bullish. Let’s break down why:

During the pandemic, Austin’s economy grew at almost double the national rate. It was unsustainable growth and caused home prices to skyrocket. 60% from 2020 to 2022. Rising interest rates tampered the national market but Austin had the largest drop, 11% since its 2022 peak. This was a needed corrective response to the markets bloated high. The WSJ highlights home buyers searching for home sales in cheaper cities like San Antonio and Corpus Christi but fails to back that up with meaningful exodus data. There are pockets of overbuilding, the speed and density was based on pandemic growth projections and we see this resulting in dropping rents and concessions on downtown high-rises.

The WSJ glosses over Austin’s job growth still being higher than the national average. Homes inside city limits were due a correction. To say this is Austin running in reverse is taking a narrow view of Austin’s big picture growth.

Here are some concrete numbers that illustrate the future of Austin.

Let’s talk Rainey. 
Anyone remember what that looked like a decade ago?

There are now 11 residential high-rises that are opened/under construction. Estimates come in at 3,800 apartments and 6.4M+ square feet of development (that’s just in Rainey)!

If anyone remembers Bungalow - it sold for $9.3M and is now the home of The Modern - a 365 unit building.

Think these enormous properties are going to sit vacant? No chance.
Multiple towers still under construction have pre-sold 60%+.

The tallest building in Texas.
Welcome to, the Waterline

1,022 ft tall and 2.7 MILLION (yes, million) square feet.

That’s huge, what’s inside?

• 700,000 sqft office space

• 352 condos

• 251 hotel rooms

• 24,000 sqft outdoor space

World class developers - the architects of Hudson Yards and One Vanderbilt will put their mark on Austin.

The executives behind Waterline consider “Rainey (is) its own version of Soho or Tribeca.”

All that to say - we are just at the beginning.

👀 DEAL OF THE WEEK

Neighborhood spotlight: Bouldin

This property is a great lesson for sellers - overpricing your home will cost you.

2317 S 3rd St came back on the market yesterday with a $626,000 price cut.

For similar properties in Bouldin sold in the last year, the median price per square foot (ppsqft) is $764.16. The ppsqft on 2317 S 3rd is $414. The lowest on the market.

The owners withdrew this listing in May of ‘23. It had been dropped from $1,625,000 to $1,369,000. They have dropped it an additional $300,000+ since it was last active. It is also a single family home - in a world of A/B units, this is valuable.

The seller’s goal is a multiple offer situation - but a quick buyer can score an incredible deal in one of the most desirable South Austin neighborhoods.

⁉️ WHAT THIS INFORMATION MEANS FOR YOU

If you’re a buyer/seller/investor/renter or just interested in real estate - this weekly newsletter will help guide your decision making and help you better understand the market.

🤤 HOUSE WORTH DROOLING OVER

Check out this new build nestled in Westlake. Yours for $12,500,000. Sometimes you just need 8 bathrooms.

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