What is the Austin real estate market doing right now?
The Austin housing market in January 2026 is stabilizing, and if you are a buyer, there is real opportunity here. The median sales price sits at $435,000, down 3.3% from a year ago. Closed sales are up 1.9%, which tells me demand is still there even as prices ease. Homes are averaging 88 days on market and sellers are closing at about 90.6% of list price.
January 2026 Austin market snapshot
Here is a look at the numbers for this month:
- Median Sales Price: $435,000 (down 3.3%)
- Closed Sales: 2,514 (up 1.9%)
- Sales Dollar Volume: $1.43 Billion (up 1.4%)
- Months of Inventory: 4.2 months (up 0.4 months)
- New Listings: 1,905 (down 7.3%)
- Active Listings: 10,372 (up 9.2%)
- Pending Sales: 1,908 (down less than 1%)
- Average Days on Market: 88 days (up 7 days)
- Average Close-to-List Price: 90.6% (vs. 91.9% in December 2024)
- Current Mortgage Interest Rate: 6.17%
What this means if you are buying in Austin
Buyers have more leverage right now than they have had in a long time. Inventory is up, homes are sitting longer, and prices are coming in below list. If you have been waiting for a better window, this is worth paying attention to.
Something for buyers
Before you make an offer, ask your lender to run two scenarios side by side: one with a lower sales price and one with a seller credit toward your closing costs. Most buyers assume a price reduction is always the better deal, but that is not always true. A seller credit can put more money back in your pocket at closing than a price cut does on paper. Get those numbers from your lender, then talk through the options with your Realtor before you decide.
What this means if you are selling in Austin
The buyers in this market are paying attention to pricing. With homes averaging 88 days on market and closing at 90.6% of list, coming in too high is going to cost you time and money. Price it right from the start and present it well.
Something for sellers
If your home goes under contract during a freeze, do not wait to be asked about the condition of the property. Weather-proof it, make sure the heat is on, check your exposed pipes, and have your Realtor communicate all of that to the buyer upfront. It is a small thing that goes a long way. Buyers remember when a seller takes care of the home through the contract period, and that goodwill matters when you get to inspection and the negotiating table.
Questions I hear a lot right now
- Is now a good time to buy a home in Austin? For buyers, yes. Inventory is up 9.2%, prices are down 3.3% from a year ago, and homes are spending more time on the market. That combination gives buyers more room to negotiate than we have seen in several years.
- Are Austin home prices dropping? The median sales price in January 2026 is $435,000, which is down 3.3%. The market is not in freefall. It is correcting after a long run of rapid appreciation and moving toward something more balanced.
- How long does it take to sell a home in Austin right now? The average is 88 days on market as of January 2026, up 7 days from the prior period. Homes that are priced correctly and show well are still moving faster than that.
- What is the mortgage rate in Austin right now? As of January 2026 the average rate is 6.17%.
Someone you should know: Stephanie Louie
If you do not have a will in place, I want you to meet Stephanie Louie. She is an estate planning attorney here in Austin who helps clients with wills, trusts, and a lot of the things most of us know we should handle but keep putting off. Jesse and I have worked with her personally. What I appreciate most about Stephanie is that she takes the time to actually educate her clients rather than just move them through paperwork. She is patient, she is knowledgeable, and she makes the whole process feel a lot more manageable than people expect. If you own a home and do not have an estate plan, call her.
Stephanie Louie | Louie Legacy Law | (512) 508-8448 | [email protected]
Somewhere you should go: Oseyo
If you have not made it to Oseyo yet, go. It is a Korean-American restaurant on East Cesar Chavez with a dining room that feels genuinely warm and a menu that always has something worth trying. They do traditional dishes alongside some non-traditional ones and the service has never missed for me. My order is the bulgogi dolsot bibimbap with a lo ball drink. You can thank me later.
Oseyo - 1628 E Cesar Chavez St, Austin, TX 78702
Ready to talk through what this means for you?
Whether you are thinking about buying, getting ready to list, or just keeping an eye on the market, I am happy to walk through what these numbers mean for your specific situation. Reach out anytime.
Lydia Witt | [email protected] | (512) 240-2785 | www.wittgrouptx.com
