Ranked as one of the best places to live and work in the country, Austin, Texas has suffered through a dot-com meltdown which also flattened housing sales for several years. Local Realtors are reporting those days are over.

"From January 1st to June 6th, 8,089 homes sold in Austin," says Realtor Julie Nelson. "That's up 20 percent from this time last year. Yes, interest rates are jumping around a bit but I remain cautiously optimistic, and that is the same tune being sung in the real estate community. I am holding my neutral position on the is-it-a-buyers/sellers-market question and I'll preface that with the profound and oft-repeated "it depends."

Nelson suggests, "The best houses in central Austin under $300k that are in excellent condition, priced right (realistic and not greedy) and show really well on day one are selling quickly. I have been in numerous multiple offer situations in the past few months. With that said, I have recently seen many sellers needing to lower their asking price to get in to the position of generating offers. My advice to buyers is it's still a great time to buy. Don't miss the opportunity. As the economy improves, interest rates will follow that upward trend. Yes, rates are going up and you missed the 5 percent rates ... but 6.25 percent is historically quite low. Beware of ads that entice you with 4 percent, there's always a catch or a cost. Ask your Realtor for a reputable lender referral."

She adds, "The $300k - $500k sector has rebounded this year from a soft 2003. High inventory (and, thus, houses just sitting on the market, uneasy sellers) include the outlying areas of Round Rock, Pflugerville, Hays and Buda. The $100k - $250k (ever-popular with first-time buyers) is not as soft. The cute, hardwood floors, nicely appointed, central Austin, priced-right properties are doing fine."

Says Realtor Aralyn Hughes, "Austin area home sales remain strong. Homes priced right and dressed to sell have the competitive edge and are going quickly. There is just more inventory for buyers, and sellers have to be ready to make their property as marketable as possible. Homes up to $300,000 are in highest demand with lots of inventory for buyers. Interest rates are good with programs for any buyer or investor."

"Today vibrant downtown Austin offers many new beautiful complexes that are designed to take advantage of views, urban living, some of the best restaurants in the country, music, night life and especially access to Town Lake where Austin's beautiful hike and bike trails are," says Realtor Roya Johnson. "These gorgeous trails circle around Town Lake (one of the three continuous lakes in Austin) offering some of the best views of nature, water, and Austin's gorgeous swans and species.

"Sizes and prices for these beautiful downtown luxury living vary from $200,000 for a one-bedroom, one-bath loft to millions for a large unit with a view of the Capital of Texas, the Texas Hill Country, and Town Lake."

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Published: June 14, 2004

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