Home Builders just CRASHED the Austin, TX Housing Market

Down 15% after going up 250%? I wouldn't call that a crash.

Builders have to "cut" prices by 75% in order for prices to be back to "normal."

Home prices in Austin grew by 50% during the pandemic, so cutting 15% off that peak ain’t no big deal

They aren't ruthless. Homes are overvalued. Especially in Austin. The price needs to go down.

So $500k down to $425k with $10k a year taxes. Payment of $3600 a month with layoffs looming. Sign me up!

Needs to go down 200-300% to get back to median

This is why there is a housing crisis. people see homes as an investment and not shelter/property. So they don't want their investments to lose money and they end up gate keeping. We need the housing market to tank big, existing home prices are insane and new homes need built in mass.

just 15% down after 250% up? wake me up when it is down by 40% from pre-2020 price

15% off homes that are 100%-150% over valued is hardly anything worth talking about

Doomguy gonna doom. Meanwhile, the rest of us are being priced out of the market while we wait around for the "crash" of -10%.

In round rock our house is valued at almost $430k. Our neighbor who bought the house that is almost identical paid $215k for it when they were built in 2017. It’s just ridiculous how much they’ve gone up

You leave out that the home flippers drove the prices up by buying over asking price so they could put a little fixup into it and sell for profit.

I have a home that is brand new next to me that has been for sale for over a year and no one has bought it yet. It started off at 670k and now it is 599k still no sale and the builder is offering great incentives. I would not buy right now unless I was rich or had the money to pay cash and I did not feel like waiting for the crash. Plus they keep lowering and raising the price to keep it relevant.

I was under contract on a new build last April for 698k. Lost 17k on it. They still haven’t sold it and it’s now 534k. I visited the house and sales office a few months ago when it was 580k. At this time I was building another house with a different builder 80k of upgrades with half of it free, bigger lot, and in a more ideal location. The sales rep called asking if they gave me my earnest back if I would go back. I told her to confirm it first. I look around the house as she gets an answer. She tells me they won’t give it back and think they’ll sell the house that month. That was in June. Now we’re here and they still haven’t sold.

Meanwhile prices keep going up and up, despite being already in the ionosphere!

15% or 10% is not a crash it’s nothing

lol. I love how they make it sound like it’s gone down dramatically. We need home prices to go down another 70% before us average austinites can actually afford one.

15% is peanuts considering interest rates are around 8%. We need 13% interest rates.

I'm from Austin and just a month ago I wanted to check my approval for home buying. I have def seen the realtors pushing me to new builds! The home price cuts are real too! I think I'm going to rent another year tho and move into a new apt since I just received my renewal letter and they are keeping my rent the same. I can find better than 1b1b for$1734!

I saw the same thing in 2008. I used to do a wide variety of construction testing and inspections and in the summer of 2005 and 2006 I had a lot of earth moving projects for home developments. In 2009 I went to visit one of the neighborhoods I had worked on and was shocked to see the house pads completely empty with just well cut grass.