October 1, 2024 | Driving It Home with ABoR's Housing Economist

In this episode of Driving It Home, Dr. Clare Knapp and Kelea Youngblood discuss the dynamics of the Austin housing market, particularly focusing on sellers and their home equity. Kelea begins by highlighting that sellers are keen on retaining the significant home equity gains accumulated during the pandemic, which is still evident in the high home prices. Dr. Knapp explains that despite a moderation in home prices over the past two years, homeowners who purchased their properties before the pandemic are still sitting on substantial equity, with gains nearly 23% higher than they would have been without the pandemic's influence. The conversation then shifts to the impact of potentially lowering asking prices by 7-10% to attract buyers. Dr. Knapp notes that even with this reduction, sellers would still realize home equity gains significantly above what would have been expected under normal circumstances, thus balancing buyer and seller expectations in the current market. Lastly, they address the topic of withdrawn listings, a concern for many in the real estate market. Dr. Knapp emphasizes that while there has been an increase in the number of withdrawn listings since 2021, when compared to active listings, the proportion remains consistent over time. This suggests that withdrawn listings might not be as significant a market indicator as some might think. The episode concludes with an announcement about the upcoming Central Texas Housing Summit, which will feature the release of the 2024 Central Texas International Homebuyers Report.   Links Mentioned Central Texas Housing Summit 10/2: https://www.abor.com/event-type/central-texas-housing-summit Central Texas International Homebuyers Report – *Coming October 2 at Central Texas Housing Summit Download an episode transcript: https://www.abor.com/content/uploads/2024/09/DIH-10-01-24.pdf Listen On: Apple: https://podcasts.apple.com/us/podcast/driving-it-home-with-abors-housing-economist/id1714289732 YouTube: https://www.youtube.com/playlist?list=PLzH_caxJ3VPq5iExWilqZOahnREgSFgqC Connect with us on socials: https://www.abor.com/socials Connect with Dr. Knapp on LinkedIn: https://www.linkedin.com/in/clare-losey   Have feedback? Email us at [email protected].