Austin TX Real Estate - Hill Country Austin Lakeway Homes for Sale: Austin, TX Home Ownership is Lower than the Rest of the State of Texas

Austin, TX Home Ownership is Lower than the Rest of the State of Texas

Here are some crazy stats for you.  Did you know that Austin, TX is way behind the entire State of Texas in Home Ownership? 

Occupancy Stats of Austin TX

I figured that since Austin was considered the "richest" city in the state, according to Tierra Grande January 2009, with a median household income of $77,939, that the owner occupancy rate would be through the roof, especially with all the affordable housing in the area.

This chart shocks me. Granted, Austin could be considered a "College Town", however, those same college students are considered in the median household income numbers. You can't have it one way and not the other.

Why are people in Austin not buying homes in accordance with the state averages?  They can definitely afford it.  Are they trying to stay within the city limits, yet the prices within the city have become out of their reach as they don't want to go to the 'burbs for a 3000 sqft home priced at under $250k? 

Or are the residents of Austin, TX trying to make sure they're mobile, and able to move wherever is necessary at anytime, like with a snap of a finger?

Whatever the reason Austin, TX residents have for not buying, there is an equal or better reason for buying!  Are you not tired of paying someone else's mortgage in that rental home or apartment?  Are you not tired of being told you can't take down the dated wallpaper to make that place a "home"?  Haven't you always dreamed of a fenced yard with a dog running around instead of being cooped up in that tiny apartment all day?

Let me know your concerns as to why you're not buying, and I can counter all your concerns with many more and better reasons why you should buy.  Haven't you heard that rates are well below 5% right now??

Are you packet yet?

**graphic courtesy of frontdoor.com

Comment balloon 9 commentsDonna Harris • March 09 2009 01:57PM

Comments

if i had to guess, i'd say it is a combination of these reasons:

1) Austin seems to have a large number of musicians and people in the entertainment industry.  It seems like the majority of my sister's friends are either musicians or they work on a movie or TV set.  It's hard to prove income for those people, so it's tough for them to get loans.

2) it's probably cheaper to rent than it is to own in Austin.  I know a few people down there that pay $1500 a month for a rent house valued at $200-300K.  That may not be typical, but that's just my experience with the few people I know down there.

there are probably lots of other reasons that I can't think of right now. 

Posted by John Jones (Briggs Freeman Sotheby's International Realty) over 9 years ago

Donna, I like the theory on the musicians, college town, cheaper to rent, but what about divorce rate? If there are more divorces too, then more turnover in housing and less stability. Just another theory I have. It's great you dug out that fact because I would have guessed like you with higher incomes, more people would be owners.

Posted by Gary Woltal, Assoc. Broker Realtor SFR Dallas Ft. Worth (Keller Williams Realty) over 9 years ago

Donna - We live at Canyon Lake and many of our folks work in Austin or San Antonio and drive to and from Austin or San Antonio everyday. I'm not for sure, but maybe has something to do with the tax rate and a slower pace. Like yourself and Gary, I am surprised with your findings. (Ceil)

Posted by Carl Winters over 9 years ago

Patrick, I don't think UT really has that much of an inpact when there are less than 50k students and Austin city limits is at about 750k.  Small percentages of students. Thanks for your opinion.

John, I didn't think of the musicians and such. $1500 a month in a $300k house?  By the way, Dallas is 51% rental with less owner occupancy than Austin, though Dallas would be considered more "stable". Figure that one out.

Gary, I can't imagine divorce would have much to do with it, but it might be a theory.

Carl & Ceil, That's a long drive everyday!!

 

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) over 9 years ago

Hey, Donna. While I an not sure why it is what it is. I do know that number will increase with your move to the area. Go get them!!! Jim

Posted by Jim & Maria Hart, Charleston, SC Real Estate (Brand Name Real Estate) over 9 years ago

Jim, I sure hope so!!

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) over 9 years ago

yes i've seen a few people that are paying really low rent for homes that are "valued" much higher.  I know parts of South Austin have had some major price appreciations over the last several years, and some of the neighborhoods are older homes that haven't been remodeled in 20-30 years (or EVER).  Just a theory.  I'm sure you'll post a blog at some point when you get down there and learn more about that market.

Posted by John Jones (Briggs Freeman Sotheby's International Realty) over 9 years ago

That's just means more opportunities for you, girl. Good luck on your new endeavors.

Posted by Loreena and Michael Yeo, Real Estate Agents (3:16 team REALTY ~ Locally-owned Frisco TX Real Estate Co.) over 9 years ago

Thanks!

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) over 9 years ago

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