Every week I run into people who think the real estate in Austin is going to tank. That's not likely to happen during 2008. I think people are over reacting the national home news with all the increase in foreclosures and price drops. In Austin I think we are seeing a lull in sales and an increase in the amount of homes for sale. Recently one the top builders here (Centex Homes) decided not to build a 1,400-home community in north Austin.

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Here is a re-cap of last week's real estate market:

December 9 - December 15, 2007
(compared to the same week in 2006)

There was a 28% increase in number of homes for sale. Buyers now have more homes to choose from in the market.

The number of homes pending (under contract) is down 63% from the same time last year.

The number of Homes Sold is down 44% from the same week last year. There  are less sales happening right now then last year.

As for Average Prices: Dec. 9 - Dec. 15, 2007
(compared to the same week in 2006)

The "New Listings" average list price for a home increased 21% to a little over $300,000.  We are still seeing home sellers be too overzealous in pricing their homes on the market. Sellers need to have their home in top condition and be priced competitively to the competition if they want to sell their home now.

The Sold average closed sales prices increased 13% to $274,000.

The Austin economy is doing fine with good job growth and prices here are still relatively cheap compared to many other parts of the country. Anyone looking to sell a home now should be glad that that the builders are pulling back. Right now national home builders are downsizing and delaying their projects because of the decline in housing markets across the nation.