Yup, its true folks! Austin is not buying that woebegone story that everyone else is reading. The latest reports show that the "Live Music Capital of the World" is proving that it still rates as a residential retreat and a bustling business center.
However, Austin is also ranked the #1 for Business among U.S. cities and the employment statistics can attest to that. Austin area job growth is holding steady with unemployment figures remaining at an all time low of 3%.
Austin has a lot to offer as a residential choice, but it also has a lot to offer in the business market, and with many new businesses moving in, the local economy is remaining strong.
Austin has been selected out of nearly 400 U.S. cities by Moody's Economy and is rated #1 for the economic vitality index. Both commercial building and infrastructure construction continue at a rapid pace.
The local economy is remaining strong and last week analysts in the Austin American Statesman reminded residents that the housing market differs dramatically in various parts of the country, and that all real estate is local. The local real estate in Austin is holding steady and active listings are showing an increase over the same time last year.
Perhaps wisely, the newly-built home sector has been kept to a minimum and this has avoided an over-supply of homes. Consequently new homes are a smaller percentage of the Austin housing market.
In fact, four fifths of the listed properties for sale are re-sale homes. In spite of a slow down in sales which is normal for this time of the year, realty prices in the Central Texas area have continued to rise.
Interest rates remain low and to some extent, the recent changes in national lending requirements may have slowed things down, but Austin is still a sellers market. Some homes are still selling within days and still some homes receive multiple offers.
According to a study published by the First American Loan Performance, Austin prices are up by 8.6%; the average sale price is up from 2006 comparisons. The sold average sale price has increased compared to 2006 and the new listings average price is up by 5%.
This is all good news for any businesses that are planning their move to Austin, and it is also good news for real estate investors. There may not be many safe markets in the real estate world, but in the face of adversity Austin is still holding its head up high!
