Austin Real Estate Weekly Market Update - May 29, 2025

by: Dan Price, Broker at Team Price Real Estate
Austin's leading data analysis brokerage, where data drives exceptional service
Published on: Thursday, May 29, 2025 at 7:00 am

Austin’s Real Estate Market : At Team Price Real Estate, we provide the market clarity you need to make informed decisions in Austin’s shifting housing landscape. This week, active listings have increased to 17,218—up 10.3% from a year ago—while Months of Inventory has reached 6.05, indicating a growing supply and slower absorption. Additionally, the median sold price has declined to $435,000, down 1.1% year over year, highlighting continued pricing adjustments. Our weekly Austin-Area MLS report offers timely, data-driven insights. For a full breakdown, access our complete PDF report featuring over 800 pages of detailed market statistics. 

Market Overview

As of May 29, 2025, the Austin-area MLS is reporting 17,218 active listings—a 10.3% increase compared to this time last year. Months of Inventory has also risen from 5.32 to 6.05, marking a 13.6% increase and reflecting a notable shift in market balance. This increase in available homes gives buyers more options and slightly more leverage than they’ve had in recent years. Within the City of Austin, inventory has grown even faster, up 14.0% year over year to 5,560 active listings. Months of Inventory there now stands at 6.74, up from 5.81 in May 2024, confirming a 1.2x increase. These figures reflect a slower absorption pace and suggest a market that remains in correction.

Pricing Dynamics in Austin Real Estate

Home prices in the Austin-area MLS show mixed movement. The average list price is up 2.3% year over year to $600,326, while the average sold price has increased 1.5% to $580,607. However, the median sold price declined slightly—down 1.1% from $440,000 last year to $435,000. The median list price also dipped marginally by 0.2% to $449,000, indicating that while top-line averages are being supported by higher-end properties, overall pricing pressure remains in the lower and mid-tier segments.

In the City of Austin, price stability has been more evident. The average list price rose 3.8% year over year to $828,752, and the average sold price climbed 2.4% to $795,257. The median list price inched up to $612,500, and the median sold price held steady at $600,000—unchanged from a year ago. This relative stability reflects a market where well-priced homes continue to attract steady demand, particularly in higher-income neighborhoods.

City and Regional Dynamics

Across the 30 cities tracked in Central Texas, pricing remains highly local. This month, 14 cities (47%) saw month-over-month price increases, while 15 cities (50%) recorded declines. Year over year, just 9 cities (30%) showed price growth, while 21 cities (70%) posted annual declines. Notably, none of the cities are priced above their 12-month peak—100% remain below.

Looking at the 75 zip codes monitored in the region, 34 zip codes (45%) showed monthly gains, while 40 (53%) declined. Year-over-year, 25 zip codes (33%) saw price increases, while 50 (67%) experienced declines. Only one zip code remains priced above its 12-month high. This widespread trend underscores the broad-based nature of the market correction, especially in areas that had seen the fastest appreciation during the pandemic era.

Sales vs. List Price Analysis

So far in May 2025, 62.87% of homes sold below the list price, a slight improvement from 62.97% last month. Meanwhile, 22.21% of homes sold exactly at list price, and 14.92% sold over asking—down from 16.81% during the same period last year. The average sold-to-list price ratio is now 97.77%, indicating that while buyers are still negotiating, sellers are holding close to their list price when offers are strong and pricing is aligned with current market conditions.

Peak Value Analysis: Austin-Area MLS

The Austin-area MLS remains significantly below its peak market values. The average list price reached a high of $726,068 in April 2025 but has since declined by 4.7% to $692,035. The median list price is now $484,995, down 10.2% from the May 2022 peak of $539,900. The average sold price has dropped 12.0%, from $664,515 in May 2022 to $584,682 today. The median sold price has declined even more sharply—down 18.2% from $538,000 to $439,900. Price per square foot figures reflect the same downward trend, with the average dropping 20.1% from $324 to $259, and the median down 21.4% from $280 to $220.

Peak Value Analysis: City of Austin

The City of Austin shows a similar, though slightly more resilient pattern. The average list price peaked at $964,801 in April 2025 and has since fallen by 6.9% to $898,235. The median list price has dropped 11.1%, from $675,000 to $599,900. While the average sold price remains relatively strong—down 5.9% from its May 2022 peak of $847,583 to $796,973—other indicators point to broader market pressure. The median sold price has decreased 11.8%, from $680,000 to $600,000. Average price per square foot has fallen 18.1%, from $442 to $362, and the median is down 19.3%, from $393 to $317. These numbers suggest that while premium homes are still performing, the broader Austin market continues to adjust.

Austin Real Estate Market – FAQ (May 2025)

1. Is the Austin housing market still declining in 2025?

Yes, the Austin housing market continues to show signs of correction, though not in a uniform way. As of May 2025, the median sold price across the Austin-area MLS is $435,000, down 1.1% year over year and 18.2% below the peak of $538,000 set in May 2022. In the City of Austin, the median sold price is $600,000, which is flat compared to last year but still 11.8% below its peak. While certain high-end segments remain relatively stable, overall prices have adjusted downward from pandemic-era highs, especially in mid-range and suburban areas.

2. How much inventory is on the market in Austin right now?

Inventory levels have increased significantly. The Austin-area MLS currently has 17,218 active listings—up 10.3% compared to May 2024. Months of Inventory now stands at 6.05 months, reflecting a 13.6% increase year over year. In the City of Austin specifically, inventory is up 14.0% to 5,560 active listings, and Months of Inventory has reached 6.74. These figures indicate a shift toward a more buyer-friendly market, with more options and longer time on the market before properties go under contract.

3. Are homes in Austin still selling over list price?

Fewer homes are selling above list price compared to a year ago. In May 2025, 62.87% of homes sold below asking, 22.21% sold at asking, and only 14.92% sold above list. This marks a noticeable decline from May 2024, when 16.81% of homes sold over list price. The average sold-to-list price ratio now stands at 97.77%, suggesting that sellers are still getting close to their asking price—especially when properties are priced competitively—but aggressive bidding is far less common than it was during peak market activity.

4. Which areas of the Austin region are holding value best?

High-end neighborhoods in the City of Austin are showing the most resilience. For example, while the city’s average sold price is $795,257—up 2.4% year over year—it remains only 5.9% below the all-time high. The median sold price in Austin has held steady at $600,000 year over year. In contrast, more suburban and outlying markets are showing deeper price adjustments. Across the 30 cities monitored, 70% have seen year-over-year price declines, and none are currently priced above their 12-month peak. Of the 75 zip codes tracked, 67% are showing year-over-year price drops, with only one zip code still above peak levels.

5. Is now a good time to buy a home in Austin?

From a supply and negotiation standpoint, conditions have improved for buyers. Inventory has increased, price growth has cooled, and the majority of homes are selling below list price. Additionally, prices are down significantly from peak levels: median sold prices in the Austin-area MLS are 18.2% below their 2022 highs. That said, timing depends on your long-term goals. If you plan to stay in the home for several years, the current market offers more selection and less competition. Buyers should also consider local neighborhood trends, school zones, and long-term development plans before making a decision.