Metro Affordability & Homebuilding Report Card<\/a> compared the 100 largest metropolitan areas in the U.S. based on two scores: an “Affordability Components” score that examined the current affordability of housing for residents, and a “Homebuilding Components” score that analyzed the rate of new home construction to meet future demand. Both scores were then used to calculate the final score and assigned a letter grade.<\/p>\nIncluding Austin, 10 total U.S. metros received grades in the “A” range \u2014 A+, A, A- \u2014 representing the most balanced locales for “favorable current affordability conditions and healthy future inventory growth to sustain them.” <\/p>\n
“Homebuilding and affordability are inseparable, and if we want to improve affordability in a lasting way, we need to build more homes,” said Realtor.com chief economist Danielle Hale. “The metros at the top of these rankings show that buyers benefit most when communities pair homes that are attainable for today’s local earners with enough new construction to support tomorrow’s demand.”<\/p>\n
Only two metros earned “A+” grades with a total score of 77.5 or higher: De Moines-West DeMoines, Idaho (83.4 points) and Raleigh-Cary, North Carolina (82.8 points).<\/p>\n
Austin was rated “A-” overall with an “Affordability Components” score of 52 points and a “Homebuying Components” score of 92.9 points. Four other metros earned the same rating: Jacksonville, Florida; Oklahoma City, Oklahoma; Palm Bay-Melbourne, Florida; and Columbus, Ohio.<\/p>\n
Realtor.com’s report said the Austin-Round Rock-San Marcos metro has a median household income of $102,412, and home listings have a median price of $501,200.<\/p>\n
Unlike newly built homes in many other U.S. metros, those in the Austin area are actually more affordable than existing homes on the market. Austin has a negative “new construction premium,” where new build homes are 6 percent cheaper than existing ones.<\/p>\n
The Austin metro also has a permit-to-population ratio of 2.37. Combined with the negative premium for new builds, these factors signal that “builders are delivering homes at a rate well above the metro’s population share \u2014 and at prices slightly below existing homes.”<\/p>\n
Austin’s “Realtors Affordability Score,” or the share of for-sale inventory affordable to households at different income levels, is 0.639, slightly lower than the national average of 0.675.<\/p>\n
Housing market grades across other Texas metros
Houston was the only other Texas metro to earn a grade in the “A” range. It is rated “A” with a combined score of 74.8 points.<\/p>\n
Houston has a 1.88 housing permit-to population ratio, meaning the metro permits 88 percent more new homes than what would be considered typical based on the metro’s population and national average construction levels.<\/p>\n
This is a snapshot of the factors that impacted Houston’s grade:<\/p>\n
Realtors Affordability Score: 0.691Median listing price: $363,106Median household income: $78,845<\/p>\n
Elsewhere in Texas, Dallas-Fort Worth was given a “B+” rating, while San Antonio-New Braunfels and McAllen-Edinburg-Mission were both rated “C+.” El Paso’s housing market performance was only worthy of a “D” grade.<\/p>\n
The top 10 U.S. metros with the highest-performing housing markets are:<\/p>\n
No. 1 \u2013 De Moines-West Demoines, Idaho (A+)No. 2 \u2013 Ralgieh-Cary, North Carolina (A+)No. 3 \u2013 Columbia, South Carolina (A)No. 4 \u2013 Houston, Texas (A)No. 5 \u2013 Indianapolis, Indiana (A)No. 6 \u2013 Austin-Round Rock-San Marcos, Texas (A-)No. 7 \u2013 Jacksonville, Florida (A-)No. 8 \u2013 Oklahoma City, Oklahoma (A-)No. 9 \u2013 Palm Bay-Melbourne, Florida (A-)No. 10 \u2013 Columbus, Ohio (A-)<\/p>\n","protected":false},"excerpt":{"rendered":"A new national real estate report card has rated Austin top of the class for housing demand and…\n","protected":false},"author":2,"featured_media":455658,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[132,134,133,3222,6358,111,17173],"class_list":["post-455657","post","type-post","status-publish","format-standard","has-post-thumbnail","category-austin","tag-austin","tag-austin-headlines","tag-austin-news","tag-housing","tag-housing-market","tag-real-estate","tag-realtor-com"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/455657","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/comments?post=455657"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/455657\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media\/455658"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media?parent=455657"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/categories?post=455657"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/tags?post=455657"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}