The Austin, TX metro area housing market in February 2025 presents a complex landscape with varying trends across different metrics. The Median Sales Price has increased to $429,999.50, reflecting a year-over-year (YoY) growth of 3.6%. This indicates a steady appreciation in home values, albeit at a moderate pace compared to the previous year.

Conversely, the median Price Per Square Foot has decreased by 2.0% YoY, now standing at $219.09. This decline suggests that while overall home prices are rising, the value attributed to each square foot of property is experiencing downward pressure. In contrast, the Median List Price per square foot has risen by 5.7% YoY to $255.30, highlighting a divergence between seller expectations and market realities.

Sales activity has slowed, with the number of Homes Sold dropping by 18.0% YoY to 1,854 units. Pending Sales have also decreased by 12.9% YoY, totaling 2,722. This decline in sales activity is further underscored by a reduction in New Listings, which have fallen by 11.1% YoY to 3,339. Despite the decrease in sales and New Listings, inventory has increased by 7.2% YoY, reaching 10,173 homes, contributing to a significant rise in the Months of Supply, now at 5.50 months, up 130.0% YoY.

The Median Days on Market have increased by 8.0% YoY to 91 days, indicating that homes are taking longer to sell. The average sale to list ratio has slightly decreased by 0.1% YoY to 97.3%, suggesting that sellers are receiving offers closer to their asking prices, but with a slight downward adjustment. The percentage of Homes Sold above list price has remained relatively stable, with a marginal increase of 0.1% YoY to 12.4%.

Price Drops have become more common, with 28.9% of listings experiencing reductions, marking a 1.6% YoY increase. Additionally, the percentage of homes going off the market within two weeks has decreased by 4.3% YoY to 24.6%, indicating a slower pace of transactions.

Overall, the Austin housing market is characterized by rising home prices and increased inventory, but also by a slowdown in sales activity and longer time on the market. These trends suggest a market in transition, with potential buyers and sellers adjusting to new economic conditions and market dynamics.