Austin, Texas is riding the wave of an economic boom. Thanks to a combination of great weather, affordable cost of living, and popular events like South By Southwest and Austin City Limits, the capital of the Lone Star State has drawn in new residents and visitors pushing up real estate prices to record highs, but will the highs last, or is the Austin real estate bubble poised to pop?
The Makings of a Real Estate Bubble
A quick real estate search leads to dozens of articles lauding Austin as one of the best and hottest real estate markets in America. For five years in a row, Austin real estate prices have reached a new record, and four years in a row the city has reached a new high median home price, most recently $263,900.
Compared to expensive coastal cities like San Francisco, Los Angeles, and New York, the rising prices in Austin are still quite low. This writer just sold a home in Portland, Oregon, and the proceeds after paying off my mortgage give me enough cash that I could buy a house in Austin with cash!
Austin Real Estate Bubble: Boom to Bust?
Houston is in the midst of a high end real estate price collapse thanks to lower oil prices. The oil economy in Texas is centered around the Houston area, but the ramifications can make waves across the state.
A report issued by Arch Mortgage Insurance Co. suggests that Austin is poised to follow Houston, and may be nearing the top of its own Austin real estate bubble.
A Good Agent Can Protect You
If you are looking to move to Austin, or want to profit from a pending shift in real estate prices, look no further than AgentHarvest to find the right real estate agent for your needs. If you are searching for a home, you need a great real estate agent. If you are searching for a real estate agent, start your search at AgentHarvest.