The Austin real estate market is still in good shape, especially compared to the national market.  In May, the median price of a single-family home in the 5-county area rose from $174,480 to $183,160 compared to May, 2006.  The average price of a home rose from $237,136 to $250,734 since May, 2006.  The number of homes sold in May, 2007 also went up by a little more than 2%.

When you look at our area's average and median prices, don't be fooled.  What keeps our average price somewhat low is the fact that a huge number of homes that sell for fairly low prices.  Gosh, that makes sense, doesn't it?  When people discover Austin, many want to live around the hills and lakes.  They see areas like the ones below and mentally apply that average price to the area and that just doesn't work.

  

 

 

 

This is Lake Austin, which is west of downtown in the Hill Country.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

This is a photo that I took in Lakeway, a suburb about 40 minutes west of downtown Austin.

 

 

 

The area west of MOPAC, a highway running north to south just west of downtown is where the hills start.  That is also the area in which the prices raise dramatically.  Higher prices are also found close to downtown and in southwest Austin.

What keeps the Austin area's average and median prices down is home sales in the northern, southern, eastern and northwestern edges of the Austin area.   These are the areas in which so many of the lower priced homes sell.  People from areas outside of Austin or outside of Texas don't know this before they actually visit and think they can get a great 3 bedroom, 2 bathroom, 2800 square foot in the hills for $250,000.  Sorry, but that is a very difficult thing to find.

By the way, if you enjoyed the photos and want to check our area visually, check out my Austin Photo Tour page.  It is a work in progress, but it will give you an idea of parts of the area.