WTF Is Going on With the Real Estate Market?

Are You Watching the Market… or Working It? 

Let’s cut through the noise. No, we’re not heading back to pandemic-level mortgage rates… so what is happening in the Austin market right now? Are homes selling? Is now a good time to buy? What do sellers need to know?

Here’s what the real numbers say—and what it means for you.

1. Median Prices Are Up, Even With Fewer Sales

In March 2025, the median home price in the city of Austin hit close to $591,000, up 5.5% year over year. That’s right—prices are climbing, even though the number of homes sold dropped by 9%, with 857 homes closing. What does that tell us?

Buyers are being selective, but they’re still willing to pay for homes that are move-in ready and well-priced. And sellers? You're still in a strong position—as long as your property is presented right.

2. Days on Market Are Down—That’s a Sign

Homes are spending an average of 65 days on the market—that’s faster than we saw earlier this year. Translation: while buyers may be negotiating a bit harder (we’re seeing homes close at about 94% of list price), demand is still strong, especially for homes that are priced well and styled to shine.

3. Inventory is Balancing the Playing Field

Inventory is holding steady at 5.2 months—not too hot, not too cold. That’s giving buyers some breathing room and more options. So if you're shopping, this might be the sweet spot: not too much competition, but also not so much inventory that you're overwhelmed.

4. Let’s Talk Rates: They’re Fluctuating, But Not Forever

As of mid-April, mortgage rates are still bouncing thanks to a perfect storm of Fed policy, inflation pressure, and global economic uncertainty (hello, new tariffs). These have impacted bond yields and nudged rates upward.

But here’s the silver lining: most forecasts point toward declining rates later this year, possibly returning to the low 6% range. Not pandemic-low, but certainly more manageable. And remember: when rates go down, competition heats up.

5. What Does It All Mean For You?

Here’s the golden rule:

When rates are high, prices tend to be lower. When rates drop, prices rise.
We saw this exact dynamic during the pandemic.

So if you’re a buyer, you have options—but waiting could cost you if you’re up against more people once rates drop. If you’re a seller, now’s the time to lean into strategy—pricing smartly, styling the home, and marketing it with intention.

Want the Real Numbers for Your Home or Your Search?

Let’s talk. I’ll walk you through what these trends mean for your unique situation and help you map out a plan—whether you’re selling, buying, or just keeping tabs on the market.

With love from ATX,
Khani Zulu Group