According to a new Realtor.com analysis, asking prices in September dropped 9.8 percent to $446,450, giving Austin the steepest year-over-year decline in median listing prices among the country’s 50 biggest metropolitan areas. The drop brought the median listing price in the Austin-Round Rock-San Marcos area to $446,450.
That correction stands out nationally, but it reflects a broader cooling trend across Texas housing markets. While sellers are adjusting their expectations as buyers gain more bargaining power, the shift varies significantly from city to city across the state.
How Austin Prices and Inventory Shifted in September
The Realtor.com data tracks what sellers ask for rather than final sales prices, but the downward pressure on the market is clear. Austin’s median listing price per square foot fell 8.4 percent year over year in September. At the same time, active listings ticked up 1.4 percent, and new listings rose 2.1 percent.
Austin was not alone in seeing steep declines. Memphis posted the second-largest decrease at 8.7 percent, followed by Tampa at 6.6 percent. Major coastal and western metros, including San Diego, Los Angeles, Denver, and Phoenix, also landed in the top 10 for annual listing-price drops.
Across the country, 20.8 percent of active listings saw a price reduction in September, marking the highest share for the month since 2018. Total inventory nationwide grew 5.4 percent from a year earlier, while homes under contract fell 4.1 percent, contrasting sharply with the competitive bidding wars of the pandemic era.
New Construction and Regional Contrasts in Texas
Central Texas has seen a steady wave of new construction. Builders have continued expanding into communities like Lockhart, Manor, and Kyle to accommodate regional growth.
Other major Texas metros are experiencing a more modest cooling phase. In Houston, the median listing price fell 1.7 percent year over year in September to $353,995. Active listings in Houston jumped 5.3 percent to nearly 36,000 homes, with about 20.2 percent of listings featuring price reductions.
That local trend aligns with inventory shifts observed earlier in the year. Houston-area inventory reached a record 40,750 single-family homes in August, giving buyers more choices and time to shop.
Meanwhile, the Dallas-Fort Worth market remained steadier. Its median listing price fell 0.6 percent year over year to $422,495, while active listings declined 2.3 percent.
While Houston presents purchasers with an increased selection of properties without undergoing an equivalent sharp adjustment in asking prices, Austin clearly stands out amid the most recent nationwide statistics.
