Bidding Wars and Price Gains Welcome Redfin to Austin

Like several markets across the country, Austin has seen a shortage of inventory combined with soaring demand, resulting in rampant bidding wars.  So, as we were preparing to launch our Austin market back in April, we had a feeling that our first Austin agent Cyndy Stewart and her team had better arm themselves for the onslaught of bidding wars.

Since launching our Austin market in April, more than half of the offers Cyndy has written have been faced with competition from multiple offers, many of them escalating above the asking price. Just this week, Redfin’s Real-Time Price Tracker indicated that in May, Austin saw one of the nation’s strongest home price gains of 7.8% year over year.  “It’s a result we expected to see in the wake of the low inventory and bidding wars that we continue to face day in and day out,” said Cyndy.

Cyndy has proven that she’s not just a competitor, but a fast-acting and creative one too. One of our very first sets of Austin clients fell in love with a hot property while they were touring it with Cyndy. Armed with her Redfin-issued iPad, Cyndy and her clients wrote, signed and submitted the offer on the spot. Theirs was the first one in, and it was accepted! Cyndy described another situation in which she found herself at the courthouse downtown for a bankruptcy hearing that turned into “an all out action-style bidding war. My client lost out to two cash buyers with higher offers,” said Cyndy.

The local media has caught wind of the feeding frenzy on Austin homes, and Cyndy has made us proud as our local spokeswoman, telling the Austin Statesman how nuts it is out there for buyers in today’s seller’s market, and describing the droves of people she regularly finds queued up to get in to see hot new homes on the market on KVUE.

For a complete picture of the Austin area market’s most recent stats and trends, download the Redfin Market Report here: Redfin-Austin-Real-Estate-Market-Report-May-2012.