We’ve reviewed the March 2025 numbers, and while media outlets may focus on the headline-grabbing decline in sold units, the true market story is far more nuanced—and far more balanced.
Sold unit count is a lagging indicator, and although March saw a dip, pending activity is signaling renewed buyer confidence. Prices remain largely stable, reinforcing the notion that we’re in a more normalized market cycle.
Let’s take a closer look at what’s happening across the Austin metro:
Key Market Highlights:
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Sold Units: Down 10.5% year-over-year. While this may dominate headlines, it reflects earlier buyer hesitation—not current market health.
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Pending Units: Improved significantly month-over-month and were nearly flat compared to last March—an encouraging sign for April and May closings.
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Pricing: The Average Sold Price rose +2.7% YOY, while Median Price dipped -1.2%, suggesting continued pricing consistency.
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Buyer Behavior: Global and economic uncertainty may give some buyers pause—but others are stepping in as rates stabilize.
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Seller Strategy: With inventory rising, pricing strategy and presentation are critical to staying competitive.
Pricing Holds Steady
Average and median prices continue to hover within a narrow range—a trend we’ve now observed for several months. The +2.7% increase in average price year-over-year is a positive sign of stability, while the slight dip in median price (-1.2%) likely reflects product mix, not a weakening market.
Pending Sales Rebound
January and February saw muted buyer activity, which led to fewer closings in March. However, March’s rebound in pending contracts is a key leading indicator: activity is picking up, and we expect stronger sold numbers heading into late spring.
Inventory on the Rise
New listings continued their upward trend in March, marking several consecutive months of double-digit YOY increases. This is great news for buyers, as it provides more choice—but it also increases competition for sellers, making strategic pricing essential.
Sales Volume Reflects Seasonal Lag
With fewer closed transactions, total dollar volume dipped. This decline is tied to earlier slowdowns in January and February and is not indicative of current demand. As pending activity builds, we anticipate a rebound in sales volume over the next 30–60 days.
Market Sentiment & Economic Uncertainty
Although interest rates have remained relatively steady, recent headlines and global economic concerns are influencing consumer sentiment. Some buyers may pause to assess, but others are moving quickly—particularly those anticipating future rate cuts.
For Buyers
Spring is bringing more listings and better selection, and pricing remains favorable. If rates drop later this year, current purchases could offer real long-term value. Acting sooner may give buyers a strategic edge.
For Sellers
More inventory means more competition. Success in this market depends on accurate pricing, thoughtful presentation, and a solid go-to-market strategy. Well-positioned homes are moving—those that aren’t are sitting.
Final Thought
Real estate remains hyperlocal and hyper situational. National headlines rarely tell the full story, and your best approach depends on your goals, property type, and location.
If you’d like a personalized strategy or simply want to understand your options in today’s market, we’re here to help.
