March 2026 Austin Real Estate Market Update

March 2026 Austin Real Estate Market Update

Spring has officially arrived in Austin, and if you step outside, you’ll see the green is already popping on the trees. In the real estate world, things are blooming just as fast.

This month, my partner Lee Abraham and I are looking at a market that is shifting rapidly. We’ve hit a major psychological milestone with interest rates, and we’re seeing a “Great Migration” within the city that is changing the game for local families.

Watch Now

Watch our video report below for all of the current statistics and our forecast for the Austin Real Estate Market. Or click here to watch it on YouTube.

Mortgage Rates Drop Below 6%

This is the news everyone has been waiting for. For the first time in a long time, the 30-year fixed-rate mortgage has dropped into the “five-handle” range, sitting at 5.98%.

This drop followed the news of a $200 billion bond purchase program aimed at housing affordability, and the impact was immediate. We saw weekly mortgage demand surge by 11% almost overnight. That 6% mark was a massive psychological barrier for buyers, and now that we’re under it, the sidelines are getting a lot less crowded.

The “Great Migration” to Top-Rated Schools

I’ve been talking about this trend for a couple of years, but it is now fully visible in the data. I call it the Great Migration.

As our millennial demographic in Austin continues to grow their families, they are moving in droves from the East Side and South Austin into specific “pockets” with 8+ school ratings. If you look at a map of homes for sale in districts like Eanes, Vandergrift (Steiner Ranch), McCallum, Mueller, and Circle C, those green dots disappear fast.

In these areas, we aren’t just seeing “activity”—we’re seeing multiple offers and homes selling in a matter of days. Parents are deciding that even if their current mortgage is 3%, the need for the right school district is worth “biting the bullet” and moving into a 5.9% rate.

The March 2026 Numbers at a Glance

Sales Velocity & Inventory

We started the month with 2,265 active listings in the city. While inventory is slightly up, the speed at which homes are going under contract is accelerating.

  • 30-Day Pending Inventory: 2.72 months (This is the lowest we’ve seen in two years!)
  • 1-Month Closed Inventory: 4.08 months

Sales Per Month

We saw a healthy 28% jump in closings as we moved out of the winter lull.

  • 531 Closed Sales
  • +28.3% Month-over-Month

Average Sale Price

The average price is holding steady. You might remember last month there was a data error (an agent accidentally entered a $299k sale as $29M!), but with that corrected, we are seeing a very stable environment.

  • $784,139 Average Price
  • -0.2% Month-over-Month

Days to Sell

Homes are moving faster. The average time on market dropped by about five days this month.

  • 75 Days Average
  • -6.3% Month-over-Month

New Listings

Sellers are finally jumping back in, encouraged by the lower rates and the spring weather.

  • 1,008 New Listings
  • +23.4% Month-over-Month

My Advice for Spring 2026

If you are Selling:
Now is the time. Your curb appeal is at its peak, and inventory is still incredibly low (under 3 months for pending sales). However, you have to be objective. We are seeing “Ownership Bias” everywhere—sellers thinking their home is worth more than the market will pay. If you price correctly, you’ll sell fast. If you overprice, you’ll sit.

If you are Buying:
Don’t wait for the summer rush. Competition is already heating up because of the sub-6% rates. If you’re looking in one of those high-demand school districts, you need a strategy in place before you walk into an open house. Things move too fast to “think about it” for three days.

Want to know what’s happening in your specific neighborhood?
The Austin market is hyper-local right now. One street might have five offers while the next street over is quiet. Reach out to me directly—I’d love to pull a custom report for you and help you plan your next move.