In recent years (especially post-pandemic), Austin has been one of the hottest and most dynamic real estate markets in the country.
In fact, according to a 2024 analysis by the U.S. News Housing Market Index (which ranks real estate markets based on housing demand, supply, and financial health), Austin tied with Kansas City at first place!
Last year, we put together a list of tips about the Austin real estate market for our clients and community—but as you know, the market can shift nearly overnight. While no one can know for certain what will happen in any real estate market, we wanted to take a fresh look at how things are trending in 2025 and fill you in on some of our recent observations.
Here at Texas Rock Milling, we work alongside new homeowners, land developers, and production builders in the Austin area on a regular basis, preparing land for new commercial builds, residential developments, and improvements to existing properties. Our deep local experience means we’ve always got an ear to the ground—and we’re here to share our unique insights with you:
#1: The market is leveling out.
In the past, the market in Austin, TX has been fast-paced and highly competitive, but there are signs that it may be starting to level out in 2025.
In 2024, the number of active listings saw a 14.7% increase, which gave homebuyers more opportunities to find a property that matched what they were looking for.
Even though the number of listings has increased, it’s still a favorable market for sellers, too. Clare Knapp, Ph.D., housing economist for Unlock MLS and the Austin Board of REALTORS® said, “This stability will give homebuyers and sellers clear expectations to plan their next steps with greater confidence.” (Source)
#2: New construction is offering superior predictability.
If you’re tired of the rollercoaster of trying to purchase an existing home, new construction can offer you the consistency and predictability you are looking for.
According to the Local Market Area Report for 2024 by Unlock MLS, existing home sales in Austin have fluctuated greatly over the last few years, but the rate of new construction remains steady with very few dips or peaks.
If you decide to go for a custom build, remember that it does take time to plan out exactly what you want and then coordinate all the moving pieces between the contractors, architects, and those preparing the land.
Here at Texas Rock Milling, we have years of experience and all the best equipment to streamline your project’s process, avoid delays, and reduce costs. Our state-of-the-art equipment allows us to complete with one machine what may take other contractors 3-4 machines or even 3-4 different contractors to do. (Which means the job is done quicker!)
It’s important to work with people who are familiar with Austin’s local permitting and zoning laws as well as the unique obstacles presented by the South Texas Hill Country so you can prevent additional and unnecessary delays.
#3: Understanding Austin’s unique terrain is key.
Texas is home to over 1,300 soil types (source). Whether you are planning to make your home in a new build or an existing house, it’s important to know what’s in your soil and what challenges you will have to overcome with landscaping, additions, and building.
Austin is located in what is considered Post Oak Belt soils where there can be a thin, sandy loam surface layer of soil over dense claypan subsoils. Water erosion can pose a serious issue on highly erosive claypan soils.
Our team at Texas Rock Milling has the expertise to help you tackle any barrier you may find in the soil. We believe it is important to consider how every action will affect the natural layout and environment of the landscape. This includes everything from the natural water drainage patterns to soil erosion. Our commitment to doing things the right way ensures that your project rests on solid, stable ground.
READ: Repurposing Raw Materials: What Difference Does it Make?
#4: You have more time to shop around.
Trying to decide if buying an existing home or building is the better option? Good news—in 2025, you may have a little more breathing room to think your decision through than you would have gotten in the past.
According to Unlock MLS, homes in Austin had been on the market for an average of 80 days in 2024. (That’s 19 days longer than when we published the original version of this article at the beginning of 2024!)
This will give you even more time to shop around and see what the market has to offer. And if you aren’t seeing exactly what you are looking for, you may want to consider if working with a developer could the best way to bring your dream home to life.
#5: New builds are becoming more affordable.
According to Realty Austin, newly built homes now account for nearly 29% of available inventory, and builders are currently focusing more on smaller, more affordable options.
“The increase in newly constructed homes is giving buyers more options while builders prioritize affordability to meet market demand,” says Tom Thornton, Agent Success Manager at Realty Austin Compass. (Source)
Have you been exploring the resale options on the market and finding that the prices are too high or the homes just aren’t ticking your boxes? If so, be aware that new builds are becoming increasingly accessible—and with the right professionals guiding you through the process, securing your dream home could be closer than you think.
Whether we are working with individual homebuyers, developers, or landowners, our dedicated team here at Texas Rock Milling is proud to solve the unique challenges that Austin real estate presents while passing the savings of material recycling on to you.
If you’re looking to make the move to this market, Texas Rock Milling is the go-to option for minimizing your expenses when it comes to a brand new build, an improvement or addition to your existing property, and so much more. Let’s talk about how we can make your vision of life in Austin a reality.
We are transforming the rough south Texas terrain into base and usable material. Learn how.