Austin’s housing market sees a sharp decline: Zillow reports a 6.6% drop in average home value to $490,209, the steepest month-to-month decline among U.S. metros with a 1.1% fall from Oct. 31 to Nov. 30.
Zillow’s Home Value Decline
Zillow data shows the average Austin home value is now $490,209, a 6.6% decrease compared to the same period last year. The city’s metro area recorded the largest month-to-month drop of any U.S. metro, with home values falling roughly 1.1% between Oct. 31 and Nov. 30.
Economic Context from Zillow Economist
“If you think back to the early parts of the pandemic, remember home values were skyrocketing. That was not sustainable,” Kara Ng, a senior economist at Zillow, said.
“What we’re seeing here now is a healthy rebalancing,” Ng continued. “There are fewer restrictions on builders in Austin, which allowed them to respond to the flood of demand early in the pandemic. And with more options now, competition has cooled.”
Ng said sellers now have to be more patient and work harder than a couple of years ago, when homes were flying off the market.
“You probably have to pull up all the stops to showcase your home,” she said. “You have two things working against you right now. There’s a greater supply because builders are able to build, but then you’re also working against seasonality because no one wants to move around the holidays,” she said.
Ng suggested waiting until early spring to put your home on the market. Her team found that if you wait until that time, sellers “can get a $10,000 boost,” she said.
ABoR 2025 Snapshot
Local real estate data paints a slightly different picture. The Austin Board of Realtors reported that median home values declined a little over 1% from November 2024 to 2025. While pending sales increased about 5% year-over-year, closed sales dropped nearly 16%, according to the report.
The ABoR reports that the median price of a residential home in the Austin metro – from San Marcos to Round Rock – is $430,000, and $565,000 in the city of Austin. There were 4,064 active listings in the city of Austin last month, about 7% more than in November 2024.
Market Dynamics and Seller Advice
“Inventory is growing, prices are steady and buyers are reentering the market with a more strategic mindset,” ABoR president Brandy Wuensch was quoted as saying in a press release.
“It’s about positioning, not panic. Buyers finally have options, and sellers need to price their homes competitively based on current market conditions. Even though the pace is slower, Austin is still fundamentally strong,” Wuensch continued.
Key Takeaways
- Zillow reports a 6.6% drop in Austin’s average home value, the steepest national decline.
- ABoR notes a 1% median price fall from Nov. 2024 to 2025, with closed sales down 16%.
- Sellers are advised to wait until early spring and price competitively to offset higher supply and seasonal slowdown.
The Austin housing market is experiencing significant adjustments, with both Zillow and ABoR highlighting declines in values and shifting dynamics that may influence buyers and sellers moving forward.
