We’ve updated the AustinTowers | TOWERS Realty Downtown Austin Condo Market Index for October, 2010. For the second month in a row, sales volumes fell far below the year ago level. With the sale of two high value units, however, average sales price spiked 28% to $571K.
During October, 8 units worth a total of $4.6M were transacted on the MLS: 5 less than during the same period in 2009. The % ask increased year over year to 96% of the listing price.
Over the last few months, the vast majority of transactions have been for units priced below $300k. In the first nine months of the year, only four units of 130 sold were priced above $1M. In October, however, two units sold for more than $1M — one in Westgate and one in 5 Fifty Five. The higher priced unit sold for $1.425 million — the second highest downtown condo transaction that we have on record. In counter to the long-standing trends, only one unit sold in October was sold for less than $300k.
So where were the units that sold? Unusually, none of the units were in 360. Three were in the Shore and two were in Milago.
As always, the results show the weakness of the MLS. While 8 units sold through MLS, additional units went ton sale at the Austonian, the Four Seasons, Spring and other new projects outside of the MLS. While the MLS numbers slid in October, the market has grown year-over-year in 14 of the past 16 months showing increasing strength. As we have noted, as more projects hit the secondary market, MLS transactions are expected to grow and diversify. In particular, we expect to see more expensive units sell on MLS v. through private transactions in the new high end projects, That said, it is difficult to know exactly what is happening in the broader market as sales office transactions are rarely included in the MLS numbers.
Over the next few months, the MLS will grow to become more representative as new construction inventory dwindles and resale units in the Austonian and the Four Seasons Residences begin to hit the market.
See the full index here.
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