Sales Estimates: Projects Under Construction in Downtown Austin, TX
Depending on who you ask, the Downtown Austin condo market is either a perfect exemplar of what a sustainable, timely downtown boom looks like, or it’s the beginning of a huge glut of properties that will have to be sold at fire-sale prices.
Here at Red Home Realty, we think they’re both wrong: Austin’s downtown condo market – with properties such as the Austonian, The 360 Condos, the Plaza Lofts, and the Four Seasons Hotel and Residences – is indeed an example of timely growth that can be absorbed by the market, but isn’t completely perfect either.
There have certainly been examples in which condos have undersold, have to be sold at Auction (the most recent example being The Sabine), or have been sold off-MLS for much lower than the original asking prices. The most recent data from Capital Market Research (via Austin Towers) shows that the truth is indeed somewhere in the middle: while affordable downtown units (such as the 360 Condos) sell quickly and easily, those over $1M tend to be far more difficult to unload.
Check out the Austin Sales Estimates for Projects Under Construction chart below for the full scoop on what’s happening with the four most high-profile (and luxurious) projects currently under construction and in the pre-sales phase in Downtown Austin, 78701:
So what does all of this mean? Well first off, it’s important to note that of the 1500 units delivered to the Downtown Austin condo market since 2001, about 98% of them have been sold and have closed.
To add another number to put that figure in perspective, only 18 out of 1,554 units in downtown over the past 7 years have NOT sold. But the data above illustrates the challenges of selling numerous units for $1M+, and a number of the remaining units remain unsold. We believe that this may lead to some changes (price drops) for a number of these availabilities, perhaps putting some downward pressure on the sky-high price-per-square-foot of these recent projects.
Want to get the scoop on exactly what’s out there above $1M? Looking for a luxury condo downtown and want to work an off-market deal with the developers? Redhomerealty.com has your back – just give us a call today for more information.
About Red Home Realty
Red Home Realty is a forward-thinking group of ambitious real estate professionals that look at real estate differently because the old way is broken. Traditional real estate brokers have had their fun, and now it’s our turn – We’re changing the game in Austin real estate.
We’re Tech Nerds - While some Austin Realtors are struggling to sync their Blackberry, we live and breathe technology. From our powerful Austin Home Search tool for buyers to our online and social media marketing for sellers, we use technology and common sense to connect with the market.
20% Cash Back Rebate – We make it easy for savvy consumers to find their new home online so when you buy with us, you get 20% cash back. It’s like one of those big bailouts you’ve heard about, except the money goes in your pocket, not to Wall Street.
It’s all about YOU – You’re not just a lead, you’re a guest in our home where you can expect Ritz-Carlton level service. We are ladies and gentleman empowering ladies and gentleman with new tools on new platforms backed by market data and facts – good, bad, or ugly.