From Housing Boom to Pandemic Bust: The Story of a Resilient City.
Austin, Texas, which avoided the 2008 housing market crash, is now experiencing the biggest decline in home prices among the nation's 400 largest housing markets, falling 10.02% between July 2022 and April 2023. The pandemic housing boom led to steep home price overvaluation and speculation, resulting in a housing bubble that has burst. While the correction is mild compared to the 2008 crash, Austin's underlying fundamentals, including overvaluation and increasing inventory, remain a challenge. However, the city's status as a hot destination for tech workers and employers could make a sustained correction difficult.