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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June 11, 2024

Episode Summary

In this episode of Driving at Home, Dr. Clare Knapp and Danielle Hammett discuss the state of the housing market as of May 2024. Danielle opens by noting the end of May and the imminent release of May’s Central Texas Housing Report. Dr. Knapp highlights the significant impact of mortgage rates on the national housing market, noting their fluctuation between the high six and low seven percent range, which has affected affordability and reduced buyers' purchasing power. Despite declines in median sales prices over the past two years, high mortgage rates have not offset the decline in affordability.

Dr. Knapp elaborates on local factors affecting the Austin housing market, such as the lingering effects of the pandemic surge in home sales and prices. She explains that the market is experiencing a natural reduction in activity as fewer people are buying and moving, compounded by high job growth post-pandemic, which has since slowed. This has resulted in a period of slower growth in both the housing and labor markets.

The discussion shifts to May's market data, showing a 13% year-over-year decline in closed sales and a 37% increase in active listings, indicating more sellers are entering the market. This suggests a cautious approach among buyers who are taking more time to select homes due to the increased inventory. Dr. Knapp advises real estate agents to contextualize these trends for their clients and emphasizes the importance of expert guidance in navigating the current market. The podcast concludes with announcements of upcoming events, including the June 26 Market Shift Conversations event and a Market Data Lab session on June 18 to further discuss market trends and statistics.

Links Mentioned
Market Data Lab w/ Dr. Knapp | June 18
Market Shift Conversations: Buyer’s Representation | June 26
Central Texas Housing Report | Coming this week

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!