As we head into February 2026, the Austin real estate market is continuing to do what it’s been doing for the last year: normalizing.
We’re past the days of emotional bidding wars and unrealistic pricing, but we’re also not in a distressed market. What we’re seeing now is a market that rewards people who understand the numbers, price correctly, and make decisions based on today’s conditions, not yesterday’s headlines.
Below is a breakdown of what the most recent December 2025 data tells us and what buyers and sellers should realistically expect heading into spring.
December 2025 Austin Market Snapshot
Based on MLS data for the Austin–Round Rock–San Marcos MSA (single-family homes, condos, and townhomes):
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Median sales price: $435,000 (down 3.3% year over year)
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Closed sales: 2,514 (up 1.9%)
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Active listings: 10,372 (up 9.2%)
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Months of inventory: 4.2 months
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Average days on market: 88 days
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Average close-to-list price: 90.6% (down from 91.9% in December 2024)
The big takeaway here is balance. Inventory is up, pricing has adjusted, and homes are taking longer to sell, but transactions are still happening.
What This Means for Buyers
If you’re looking to buy a home in Austin, this is a more rational market than we’ve seen in years.
Buyers generally have:
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More options to choose from
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Time to run numbers and evaluate neighborhoods
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More room to negotiate on price and terms
Homes are selling, on average, for about 90% of the list price, which tells us that asking price and market value are often two different things right now. That doesn’t mean every home is a deal, but it does mean buyers don’t need to rush or waive protections to compete in most cases.
The buyers who do best are the ones who are prepared, pre-approved, and realistic about value.
What This Means for Sellers
For sellers, the market has shifted away from “name your price and wait.”
With inventory up and days on market longer, pricing and presentation matter more than timing alone.
Sellers should expect:
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Buyers to negotiate more than they did a few years ago
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Homes that are overpriced to sit longer
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Well-priced, well-maintained homes are still selling
The data shows prices have softened slightly year over year, which reinforces the importance of pricing based on current comparable sales, not peak market expectations.
Homes that are priced correctly from the start are still moving. Homes that chase the market usually don’t.
Is Austin a Buyer’s or Seller’s Market?
That means:
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Buyers aren’t desperate
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Sellers aren’t stuck
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Deals are getting done when both sides are realistic
Balanced markets tend to produce cleaner transactions and fewer surprises, which is ultimately better for everyone involved.
Why February Matters
February is typically when people stop “thinking about it” and start planning. Buyers get serious before spring competition increases, and sellers prepare listings ahead of peak inventory.
Understanding where the market stands now helps avoid overpricing, overbidding, and frustration later.
Bottom Line
The Austin real estate market entering February 2026 is steady, active, and more predictable than it’s been in years.
Buyers who understand value and sellers who price realistically are the ones succeeding. The hype is gone, but opportunity is still very much there.
As always, the details matter, and local data matters more than national headlines.
