Austin Real Estate Market at a Glance
Austin’s real estate market has undergone one of the most significant recalibrations of any major metro in the country. After experiencing explosive growth during the pandemic — when remote workers flooded in, median prices surged by double digits annually, and homes sold in hours — Austin has spent the past two years resetting to a more sustainable pace. Entering 2026, the market shows clear signs of stability with expanded inventory, longer marketing times, and price levels that have adjusted from their pandemic peaks. Here’s a detailed breakdown of the numbers defining the Austin housing market right now.
Median Home Price
The median home price in the Austin metro area tells a story of recalibration from pandemic-era highs. As of early 2026, the median sale price for the broader Austin metro sits at approximately $412,000 to $435,000, representing a year-over-year decline of roughly two to four percent. For the city of Austin proper, median prices run higher at approximately $550,000 for residential homes.
The current pricing represents a meaningful correction from Austin’s peak, with some analyses showing an 18 to 20 percent decline from the market’s high point — a steeper pullback than peer cities like Dallas and Houston, which experienced more modest three to five percent softening. This reflects Austin’s more extreme run-up during the pandemic boom and the natural correction that followed.
At the neighborhood level, Austin shows significant price variation. Westlake, Tarrytown, and the central Austin core command premium pricing well above $800,000 and often exceeding $1 million. South Austin neighborhoods near Zilker and Barton Hills carry median prices in the $600,000 to $900,000 range. East Austin, which has experienced dramatic gentrification and price growth over the past decade, now sees median prices in the $450,000 to $600,000 range.
The suburban ring tells a different story. Round Rock, Cedar Park, and Pflugerville offer median prices in the $375,000 to $475,000 range, while more affordable options in Kyle, Buda, and Hutto provide entry points below $375,000. Williamson County markets have been particularly active, offering the most competitive inventory conditions in the metro.
Looking ahead, forecasts for 2026 project relatively muted price movement. Most analysts expect flat to modest growth of zero to four percent, with some noting that price growth could remain negative in Austin even as national markets stabilize. The consensus view is that Austin’s pricing has found its floor and will begin a slow recovery rather than another sharp swing in either direction.
Days on Market
Days on market in Austin has seen one of the most dramatic shifts of any major metro, reflecting the depth of the market’s transition from extreme seller’s conditions to buyer-friendly territory. As of February 2026, homes in the Austin metro are spending an average of 91 days on market — the highest figure since March 2011 and a stark contrast to the pandemic peak when homes sold in days.
This extended marketing time reflects multiple converging factors: abundant inventory giving buyers extensive choices, mortgage rates that have moderated purchasing urgency, and a price correction that has made some buyers cautious about whether values have fully stabilized. Sellers who entered the market with pandemic-era pricing expectations have faced the reality of extended days on market and eventual price reductions.
The longer marketing times vary significantly by submarket. Well-priced homes in high-demand areas like Central Austin, Westlake, and the most desirable parts of Round Rock and Cedar Park sell considerably faster than the metro average. Properties in newer suburban communities with strong school districts also tend to move more quickly. Meanwhile, homes at higher price points and in areas with heavy new construction competition may sit for several months.
For buyers, the extended days on market creates an environment with time for thorough evaluation, inspection, and negotiation — a welcome change from the frantic pace that forced many pandemic-era buyers into hasty decisions.
Active Inventory and Supply
Inventory has been the defining metric of Austin’s market transformation. As of February 2026, there are approximately 10,000 active listings across the Austin metro, and months of housing inventory has reached 6.5 months for the metro as a whole — crossing into balanced-to-buyer-favorable territory.
The inventory picture varies by county within the metro. Bastrop County carries the highest supply at 10.1 months, indicating strong buyer leverage in that submarket. Williamson County has the tightest supply at 5.8 months, reflecting continued demand for its combination of affordability, school quality, and proximity to major employers.
The expansion of inventory has been driven by sustained new construction activity, existing homeowners entering the market, and the extended days on market that naturally increase the active listing count. Builders have been particularly active in the Austin market, delivering new homes across a wide range of price points from entry-level townhomes to custom single-family homes in master-planned communities.
The high level of new construction has been both a source of inventory and a source of pricing pressure. Builders have been offering incentives including rate buydowns, closing cost credits, and design upgrade packages to attract buyers, which has put competitive pressure on resale listings that may lack the same move-in appeal.
Sales Volume and Transaction Activity
Despite the market’s challenges, transaction activity in Austin has been showing encouraging signs. Pending home sales have trended upward since the start of 2026, with approximately 2,690 pending sales recorded in the metro in February — representing a roughly 14 percent increase compared to February 2025.
This uptick in pending sales suggests that buyers are responding to the improved conditions. The combination of stabilizing prices, expanded inventory, and sellers willing to negotiate has unlocked demand that was sidelined during the market’s most uncertain period. Buyers who were waiting for clarity on the direction of prices and interest rates appear to be gaining confidence that the worst of the correction is behind them.
Austin’s economic fundamentals continue to support housing demand. The city’s technology sector — anchored by major employers like Apple, Google, Tesla, Oracle, and Samsung alongside a deep ecosystem of startups and venture-backed companies — provides a strong employment base. The University of Texas, state government operations, and the city’s growing healthcare and creative sectors add additional economic depth.
Price Per Square Foot
Price per square foot in Austin varies widely by neighborhood, property type, and construction era. The metro-wide average generally falls in the $225 to $300 per square foot range for existing homes, with new construction pricing typically in the $250 to $400 range depending on location, builder, and finishes.
Central Austin and the most desirable neighborhoods command the highest per-square-foot premiums. Downtown condos, South Congress area properties, and homes in Tarrytown and Zilker frequently exceed $400 per square foot. East Austin has seen significant per-square-foot appreciation over the past decade but has moderated from its peak levels.
Suburban markets offer more affordable per-square-foot pricing. Round Rock, Cedar Park, and Pflugerville generally fall in the $200 to $275 range, while farther-out communities like Hutto, Kyle, and Georgetown can offer $175 to $225 per square foot — among the best value propositions in the metro for buyers seeking to maximize living space relative to budget.
What the Numbers Mean for Buyers and Sellers
For buyers, Austin’s 2026 market represents a fundamentally different opportunity than anything seen in the past five years. With 6.5 months of inventory, 91 days of average marketing time, and sellers accepting prices below asking, buyers have more leverage, more choices, and more time than at any point since before the pandemic. First-time buyers in particular benefit from the expanded suburban inventory and builder incentives that can meaningfully reduce monthly payments.
For sellers, Austin requires realistic expectations and strategic execution. The market has moved decidedly away from seller dominance, and pricing strategy is the single most important factor in achieving a successful sale. Homes priced at current market value in desirable locations will still sell, but sellers who anchor to pandemic-peak pricing or even year-ago comparables face extended market times and inevitable reductions. Professional staging, high-quality marketing, and a willingness to negotiate on both price and terms are essential.
For investors, Austin’s correction has created better entry points than the overheated conditions of 2021 through 2023. However, investors should carefully evaluate cash flow potential given the price-to-rent dynamics in the market. Suburban markets with strong rental demand and reasonable acquisition costs may offer the best near-term returns, while central Austin properties position investors for longer-term appreciation as the market completes its reset.