I’m excited to begin showing you more data driven information about the Dripping Springs ISD housing market! I will put out information monthly on what the last 30 days have been looking like and add any valuable information that you may want to know about the area and developing news!
Today I’m focusing only on 78737. This zip code encompasses the eastern part of Dripping Springs ISD, but also spreads outside of it into Austin ISD. The information provided today is only for 78737 inside DSISD.
People love moving into this area because you have the newer schools (Sycamore and Cypress Springs) and are closer to Austin for work or Austin private school commutes. There are also more restaurants and shopping at the Belterra Village and new developments coming with more commercial shopping. I hear we are getting a Chipotle and Shipley Donuts in the future!
The New HEB also opened up last month and is located on Nutty Brown and HWY 290. Grocery shopping just got a lot easier for those living in 78737!
78737 Closed data for the last 30 days:
Average sales price: $875,035
Average close to list price: 98.2%
Average days on market: 50
Closed sales: 23
The 78737 rental market has 35 active lease listings averaging $3,971/month.
Texas Realtors releases an in depth analysis on zip codes, but it is usually 6 weeks behind. Here is the June infographic for 78737.
Why is inventory growing so much in 78737?
The last 3 years were an anomaly in the real estate market.
Record high demand, record low inventory and a host of other wild COVID related policies moved a lot of people around the nation (and world!) and a lot of them ended up in the Austin area.
We are now back to a 2019 style market with inventory levels and the pace of the market.
Gone are the days of 1 hour on market before 3 offers $100k over asking!
The biggest culprit (alongside higher home prices and property taxes) is the FED raising the interest rate and in turn the mortgage rates have grown to an average of 7.23%, almost a 23 year high.
When they were under 3% early on in the pandemic it allowed borrowers to be approved for 50% more home than they can afford now.
For every percent that the mortgage rate goes up a borrow loses 12% of their traditionally financed buying power. (Cash is always KING though!)
Simply put, the FED’s rate hikes have sidelined many would-be buyers by making it unaffordable for many to purchase. It’s putting a lid on the record high demand we experienced when the FED was sending money to everyone during the pandemic and held the benchmark rate at record lows for a long time during the pandemic. They realized that doing that made inflation white hot and now they are tightening at a record pace… which is having massive effects on everything from commercial real estate refinancing to car loans and credit cards.
Sound like all bad news?
Not for buyers! Home prices locally have come down a bit and there are many motivated home sellers that would be willing to sell their home under asking as we move into the fall when home prices dip further seasonally.
Some are more motivated than others… that’s why you need a good Realtor on your side to do a little digging! I can tell you if a home is priced appropriately for the current market or if they are pricing to the moon and will end up sitting until the listing expires.
There are still many strategies to get a buyer under contract in this high interest rate environment… I have lots of ideas and have many amazing local lenders that I can refer you to!
Homeowners who bought a home before the run up of 2021 still have a healthy amount of equity in their homes and although they missed the boat for the height of the market last summer, most can still sell with a good amount of equity.
Are you looking to buy in Dripping Springs, Texas? Just reach out to me and I’ll be happy to talk further! 512-569-8480
Thinking about listing your home in the area? Click HERE and HERE to read about my value-driven, modern marketing for listings! Just give me a call if you’d like to talk further about strategy! 512-569-8480
Check out my Dripping Springs Guide HERE.
Click HERE to view current homes on the market.
Click HERE to get a FREE home valuation
Click HERE to learn more about the local adventure and businesses!
POSTED IN MARKET ANALYSIS
