Austin Rental Market Update – June 2007 and Mid-year Stats

Rents continue increasing overall in Austin, as the number of homes rented drops. The average leased price of a home in Austin for June 2007 is $1364 per month, up 7.5% from $1269 in June of 2006. Average days-on-market for homes rented in June 2007 was 41 days. The median days on market was 28 days, which means half of all homes listed in the Austin MLS for rent were leased in less than 28 days. We are clearly moving back into a solid Landlord’s market.

Austin Rental Market Stats June 2007
Previous Month and Year Comparison
All MLS Areas - Houses Only

 
May 2007
June 2007
June 2006
Yr % Change
# Leased
650
750
789
-4.9%
Avg List Price
$1384
$1370
$1279
7.1%
Median List Price
$1250
$1250
$1195
4.6%
Avg Leased Price
$1377
$1364
$1269
7.5%
Med Leased Price
$1210
$1250
$1150
8.7%
Avg Size SQFT
1910
1897
1837
3.3%
Median SQFT
1817
1810
1745
3.7%
Avg $ per SQFT
$0.72
$0.72
$0.73
-1.4%
Avg Days on Mkt
40
41
46
-11%
Median Days on Mkt
36
28
37
-24%

Year-to-Date, average 2007 rents in Austin are up 6.5% from the same 6 month Jan-Jun period of 2006 last year. The YTD average leased price is $1309 per month, up from $1229 last year. We must be mindful however that summer rental activity is stronger, thus as we move through July and August and into the slower Fall/Winter month, the YTD average may drop some. But things are certainly looking good for landlords and property managers in Austin.

Austin Rental Market Jan-May 2006/2007 Comparison
All MLS Areas - Houses Only

 
Jan-Jun 2006
Jan-Jun 2007
Yr % Change
# Leased
4044
3936
-2.7%
Avg List Price
$1240
$1317
6.2%
Median List Price
$1150
$1195
3.9%
Avg Leased Price
$1229
$1309
6.5%
Med Leased Price
$1125
$1195
6.2%
Avg Size SQFT
1823
1881
3.2%
Median SQFT
1746
1791
2.2%
Avg $ per SQFT
$0.67
$0.70
4.5%
Avg Days on Mkt
54
50
-7.4%
Median Days on Mkt
45
36
-20%

Below is a breakout by selected cities. You can see that Austin proper enjoys stronger rental stats overall than any of the surrounding metro areas. I continue to believe that the best place to purchase a rental home is in Austin rather than the suburbs, though some of the outer areas are no doubt gather momentum as new toll roads and freeways shorten the commute times.

Austin Rental Market Stats Jan-Jun 2007
YTD Breakdown by Selected Cities
Houses Only

Austin
Round Rock
Buda/Kyle
Cedar Park
Leander
Hutto
# Leased
1819
615
244
248
195
151
Avg List Price
$1432
$1215
$1110
$1315
$1137
$1067
Median List Price
$1250
$1175
$1097
$1250
$1100
$1050
Avg Leased
$1423
$1210
$1108
$1308
$1137
$1059
Med Leased
$1250
$1150
$1095
$1250
$1100
$1030
Avg Size SQFT
1784
2015
1819
2108
1874
1914
Median SQFT
1656
1878
1790
2103
1800
1867
Avg $ per SQFT
$0.80
$0.60
$0.61
$0.62
$0.61
$0.55
Avg Days on Mkt
46
52
53
55
48
63
Med Days Mkt
34
38
40
38
35
48
Avg Year Built
1984
1999
2003
1998
2000
2005
MedYear Built
1987
2001
2004
2000
2003
2005

Below is a breakdown of leased prices by MLS area. As usual, be mindful that smaller sample sizes can skew things. For example, I promise you rents have not fallen in area 7 in Central/South Austin as indicated below. Only 6 homes have leased through the MLS in area 7 this year and they all happen to be very small homes with lower rents. If you’re not familiar with the MLS areas, check the map at the bottom of this post.

Austin Rental Market Stats - 2007 Jan-June
YTD by MLS Areas - Houses Only

MLS Area
# of Homes Leased
Jan-Jun
Avg $
Leased Amt
Jan-Jun
Avg
SQFT

Avg $
Per
SQFT

Avg
Days
Avg Yr Built
2006
2007
%Chg
2006
2007
%Chg
Area 1A
12
18
50%
$2185
$2418
11%
2554
$0.95
61
1976
Area 1B
33
44
33%
$1951
$2163
11%
1726
$1.25
33
1950
Area 1N
99
76
-23%
$1318
$1508
14%
1917
$0.79
44
1983
Area 2
82
57
-30%
$1111
$1274
15%
1249
$1.02
32
1958
Area 2N
67
67
0
$1054
$1070
2%
1435
$0.75
48
1974
Area 3
79
69
-13%
$1100
$1091
-1%
1276
$0.85
49
1963
Area 3E
30
39
-30%
$1076
$1039
-3%
1371
$0.76
85
1993
Area 4
89
88
-1%
$1458
$1582
9%
1350
$1.17
51
1948
Area 5
77
67
-13%
$998
$1045
5%
1248
$0.84
51
1970
Area 5E
36
23
-36%
$1030
$990
-4%
1649
$0.60
53
2001
Area 6
63
50
-20%
$1286
$1620
26%
1446
$1.12
31
1957
Area 7
15
6
-60%
$1492
$1285
-14%
1151
$1.12
21
1952
Area 8E
20
22
10%
$2419
$2653
10%
2390
$1.11
33
1978
Area 8W
28
26
-7%
$2284
$2367
4%
2490
$0.95
58
1989
Area 9
14
17
12%
$1076
$1150
7%
1362
$0.84
65
1983
Area 10N
81
79
-2%
$1073
$1129
5%
1319
$0.86
39
1971
Area 10S
192
169
-12%
$1128
$1179
5%
1564
$0.75
38
1989
Area 11
60
61
2%
$976
$1034
6%
1481
$0.70
43
1992
Area CLN
337
287
-15%
$1104
$1159
5%
1952
$0.59
49
2001
Area CLS
168
201
20%
$1319
$1394
6%
2091
$0.67
53
1998
Area DT
0
0
0
0
0
0
0
0
0
Area EL
19
22
16%
$1011
$1029
2%
1890
$0.54
58
2001
Area GTE
46
48
4%
$1059
$1086
3%
1800
$0.60
46
1998
Area GTW
35
30
-14%
$1298
$1364
5%
1968
$0.69
55
1993
Area HD
39
27
-31%
$1636
$1800
10%
2338
$0.77
57
1999
Area HH
243
245
1%
$1056
$1118
6%
1828
$0.61
53
2003
Area HU
142
168
18%
$1032
$1061
3%
1920
$0.55
63
2005
Area LN
26
24
-1%
$1060
$1132
7%
1600
$0.71
61
1988
Area LS
110
145
32%
$1732
$1858
7%
2250
$0.83
61
1994
Area MA
68
66
-3%
$1023
$1087
6%
1812
$0.60
55
2004
Area N
89
79
-11%
$1184
$1208
2%
1704
$0.71
47
1990
Area NE
108
103
-5%
$1137
$1179
4%
1902
$0.62
52
1998
Area NW
127
94
-26%
$1297
$1306
1%
1971
$0.66
46
1988
Area PF
310
313
1%
$1128
$1200
6%
1991
$0.60
54
2001
Area RN
53
68
28%
$2190
$2110
-4%
2634
$0.80
75
2001
Area RRE
447
430
-4%
$1141
$1190
4%
2003
$0.59
50
2000
Area RRW
175
188
-7%
$1239
$1338
8%
2133
$0.63
52
1996
Area SC
26
21
-19%
$1237
$1190
-4%
2087
$0.57
38
2003
Area SE
38
29
-24%
$1055
$1049
-1%
1881
$0.56
54
1998
Area SWE
121
125
3%
$1266
$1352
7%
1924
$0.70
35
2001
Area SWW
114
93
-18%
$1658
$1695
2%
2289
$0.74
35
1996
Area UT
26
17
-34%
$1746
$2164
24%
1672
$1.29
41
1945
Area W
30
42
12%
$1861
$1982
7%
2317
$0.86
54
1992

Below is a graphical representation of Austin’s rental market history from 1999 to June 2007. It’s alot easier to understand the huge dip we took in rental prices by seeing it visually. Also, our recovery appears to be in full swing also, but I’m still not certain our average rental rates at the end of 2007 will beat the 1999 number. We’ll see.
Austin Rental Market History

Below is Austin’s current MLS map.
Austin MLS Map

Posted by Steve
9 years ago
Steve

Steve is a Real Estate Blogger, Husband and Dad, UT Austin Grad, Runner, Real Estate Broker and owner of Crossland Team and Crossland Real Estate in Austin TX.

Click Here to Leave a Comment Below

nate - 9 years ago

I’d rather see the above graph (rental history) in price per square foot as it seems that the rental homes are just getting larger in size instead of prices going up for the same rental house. Just a thought – nate

Reply
nate - 9 years ago

I’d rather see the above graph (rental history) in price per square foot as it seems that the rental homes are just getting larger in size instead of prices going up for the same rental house. Just a thought – nate

I should say I do enjoy your commentary and check in a couple times a month

Reply
Steve - 9 years ago

square footage prices are listed in the other charts.
Steve

Reply
nate - 9 years ago

Right – I see that but the graph is misleading. What I am saying is its costs less to rent the same house in June 2007 then it did in june 2006, 1.4% less according to the chart above.

Its misleading to say rent is up, when it is just larger homes being rented.

Average rent per square foot in June of 2007 = $0.72
In June of 2006 = $0.73

Rent for the same home has gone down in Austin, not up like the cart implies, when compared to this month last year. Not surprising considering the amazing afford ability of this community.
nate

Reply
Steve - 9 years ago

Hi Nate,

It’s not misleading. Average rent prices are up overall. It’s the trend and direction of overall movement that’s important to observe. Homes in better areas do not rent for less than a year ago, I’ll promise you that. Further out suburbs where bigger, cheaper homes are being built pull down the overall stats.

Steve

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