From Alamo Title Co. for the month of February, 2008:

Units for Sale:
(compared to the same month in 2007)
New listings are up by 58.04%.
Pendings are down 12.37%.

Solds decreased by 26.88%.

 

As for Average Prices:

The "New Listings" average list price is up 4.94% to 313,233.

Sold average sales prices increased 0.33% to $233,015 compared to $232,259 in 2007.

 

Check it out at http://www.alamotitle-austin.com/mls_statistics.php.

Just as I expected, prices are finally flattening.  With slowing sales and higher inventory, it was bound to happen.  This is also the time of year when many people put their houses on the market, which means that we're likely to see an even greater inventory this spring and summer.  Simple economics tell me that prices have to go down.

Anyone looking to buy in Austin needs to be on the lookout.  Even as prices flatten and fall, interest rates are slowly going up.  It is probably smarter to go ahead and buy now as what a buyer may save in price over the next 6 months may be offset by the higher cost of money.

Sellers need to start getting realistic.  Many sellers are refusing to believe the trend and are listing for a higher price than they should.  It is difficult to buy the fact that Austin's market has been affected by the lending crunch and national media.  We're getting into a buyer's market here and sellers need to understand that.  If someone wants, but doesn't need, to sell, it might be a good time to wait this cycle out.