Austin Job Growth – Where Are They Coming From?
Austin is set for a slow, but steady recovery this year and that starts with job growth. According to economist Angelou Angelous, the Austin area will continue to lose jobs in manufacturing and constructions, but we will see growth in education, health care, professional services, government, financial services and in other areas. Angelous says that the Austin area will add 26,000 jobs over the next 2 years and that over 100,000 people will move here over the next 2 years.
According to the Austin Chamber of Commerce, Absolute Software, CyrusOne Data Center, Red Oxygen and SmartSpark Energy Systems all either opened headquarters or moved offices here in 2009. The latest news is that LegalZoom may open a regional headquarters here and that could bring 600 more jobs over the next 5 years. New jobs and people moving here even without jobs is good news for the Austin real estate market.
Many of the people moving here will lease apartments or homes, but many more will purchase. This year is still likely to see flat home prices in most areas and decreasing prices above $800,000, but we may see an overall increase next year in the low and mid-price ranges. High end homes will probably struggle in terms of prices for several years. People moving to Austin who are looking at higher end homes may be able to score some decent deals for a while.
Other people are moving to the Austin area for the lifestyle or climate. Many of these folks have businesses that can be run from anywhere so a relocation for personal reasons work out well.