Your Weekly Pulse on the Housing Market

With no shortage of opinions about the market, it's important you have an in-house expert who can cut through the noise and give an accurate perspective of our region's housing market and economy.

That's why we created Driving it Home, a weekly housing market update with ABoR & Unlock MLS Housing Economist Dr. Clare Knapp.

Every Tuesday morning, we'll release an interview with Dr. Knapp explaining the week's need-to-know trends. You'll be caught up on the market before you finish your morning drive!

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July 23, 2024

Episode Summary

In this episode of Driving It Home, Dr. Clare Knapp and Danielle Hammett address the sensationalist media coverage of the Austin housing market and the frustration over misleading headlines that suggest the market is tanking, clarifying that there's no housing bubble and no glut of inventory. To set the record straight, Dr. Knapp explains the true nature of a housing bubble, driven by speculation and unsustainable increases in home prices, and contrasts it with the current Austin market, which is experiencing a healthy adjustment rather than a bubble.

Dr. Knapp elaborates on the factors influencing the Austin housing market, noting that the dramatic increases in home prices during the COVID-19 pandemic were due to low mortgage rates, a national phenomenon. The influx of buyers relocating to Austin for primary residences, rather than speculative investments, distinguishes the local market. She highlights the significant increase in active listings in Austin, a unique situation compared to the national level where inventory remains insufficient, stabilizing home prices.

Despite the market adjustments, Dr. Knapp emphasizes that Austin's housing market remains strong, with continued job and population growth supporting demand. Sellers are still benefiting from substantial equity gains, and although price moderation is necessary to balance buyer purchasing power, the overall outlook is positive. The episode wraps up with a preview of upcoming topics, including a focus on sellers, new construction stats, and rental market trends, and an invitation to the Diversity Summit on August 15.

Links Mentioned

ABoR Diversity Summit – August 15

ABoR Events

Download an episode transcript here.

"Great to add this to my weekly news routine!"

- Jill Leberknight, eXp Realty
Clare Losey (square Crop Low Res)ABOUT DR. CLARE KNAPP

In her role as Housing Economist, Dr. Clare Knapp helps unpack complex data and keeps REALTORS® up to date on the latest trends in the Austin housing market and broader economy. She’s passionate about providing accurate, timely, and relevant analysis & commentary on the Austin economy and housing market that allows REALTORS® to better understand current conditions in the market and optimize their business practices accordingly.

Prior to joining ABoR, Clare worked at the Texas Real Estate Research Center at Texas A&M University for seven years as an Assistant Research Economist. In her role, she provided analysis and commentary on the Austin economy and housing market using econometric and statistical models. Very similar to her role here at ABoR, she conducted research and analysis on Texas housing markets and housing affordability for cities, communities, and nonprofit organizations across Texas.

Clare earned her Bachelor’s at the University of Texas Austin, her Master’s in Land Economics and Real Estate from Texas A&M University, and her Doctorate in Urban and Regional Sciences from Texas A&M University. And if that wasn’t enough, she served as the President of the Urban and Regional Sciences Student Organization during her time at Texas A&M!