Austin runs on live music, tech money, and Hill Country sunshine — a city that’s drawn transplants and entrepreneurs for years with its distinct Texas energy. From the neon-lit stretch of South Congress to the shaded streets of Tarrytown and Mueller, it’s a place people move to on purpose.

Austin’s February data landed clearly in buyers’ favor: prices dropped sharply, more homes hit the market, and listings sat longer than a year ago. If you’re buying now, you have real negotiating power. If you’re selling, your pricing strategy matters more than ever from day one.

Austin’s supply kept building last month — and that’s good news if you’re shopping now. Active listings reached 3,183 homes in February, up 5.3% year-over-year, while new listings jumped 7.2% — more than triple the national growth rate of 2.4%. Supply was outpacing demand. For buyers, that means more choices and less pressure to rush. For sellers, standing out on price and presentation wasn’t optional.

If you’re buying in Austin right now, last month’s price data worked in your favor. The median listing price fell to $552,500 in February — a steep 9.0% drop from a year ago, far outpacing the national decline of just 2.1%. Nearly one in five listings carried a price reduction, above the national rate of 15.5%. Sellers who came in too high risked a cut — and a price-reduced listing signals weakness to buyers.

Buyers in Austin had time on their side last month — and that’s a meaningful shift. The median home sat on the market for 70 days in February, up 8.6% year-over-year — a faster slowdown than the national rise of 5.3%. You now have room to deliberate, inspect thoroughly, and negotiate terms. For sellers, homes priced right moved; everything else accumulated days and price-cut history.

Austin’s February data was a clear signal: this market favors buyers right now. Prices fell nearly 9%, inventory grew, new listings flooded in, and homes took longer to sell. If you’re buying now, take your time — the data supports a careful, well-researched approach. If you’re selling, honest pricing from the start is your strongest move. Overpriced listings sat, collected days on market, and ultimately sold for less. A knowledgeable local agent is your best tool in a market that’s still shifting.

This market report has been generated with AI tools, with input from Realtor.com Economic Data Manager Sabrina Speianu

Use the Realtor.com housing data portal to get more market data.