While the national real estate market is a mixed bag, mostly down with a few up spots, Austin sailed through 2007 with only modest signs of cooling. December dollar sales exceeded 2006, but just barely. However 2007 total sales volume exceeded 2006 by almost $15,000,000. Every month of the year surpassed 2006 monthly dollar volumes. But unit sales continued to moderate and ended the year 5.5% off of 2006 levels. Even with a moderate slowing of sales, 2007 inventory absorption rates was the second best in eight years and home appreciation rates were strong citywide (see scroll or pdf print document). Many MLS areas showed brisk appreciation rates well over 10% and several much higher. In 2007 the average home sold for $246,962 as compared to 2006's average sales price of $229,900, that's an average appreciation rate of 7.42%. Not bad!
According to the American Statesman, there were several cushions to keep Austin as one of the nation's strongest real estate markets, including expanding companies like Silicon Laboratories, the region's biggest investment ever, the new $3.5 billion Samsung Electronics chip plant and a growing skilled labor force attracting some of the nation's best and brightest. The year ahead is predicted to slow a bit along with the rest of the nation, but Austin's broad technology base, as well as state government and the University of Texas continue to anchor Austin in times of uncertainty. Austin's prospects for 2008 is one of the nation's best and strongest.