Austin-area home starts rise 2 percent in 2015Austin-area home starts rise 2 percent in 2015https://www.recenter.tamu.edu/news/newstalk-texas/?Item=118192016-01-27T06:00:00Z2016-01-27T18:00:00Z

AUSTIN - ​Despite a dip in fourth quarter 2015, home building activity in the Austin area was up slightly in 2015 compared to 2014, the latest figures show. 

Housing industry tracker Metrostudy said builders started construction on 11,543 houses last year, about 2 percent more than in 2014.

In 4Q 2015, Metrostudy said starts were down 2.2 percent year-over-year.

The median price for new homes for 2015 was $271,035, 4.6 percent higher than 2014's median.

Metrostudy expects the local housing market to see continued strong demand for housing as a result of Central Texas' continued job growth and overall economic health.

However, because of a lack of lots on which to build houses in the lower price points, "the new home market will not see significant growth in 2016 like it did coming out of the recession," said Steve Plevak, regional director of Metrostudy's Austin office.

Experts predict new-home starts will only see a modest increase for 2016 due to builders' challenges in meeting demand for houses priced at less than $350,000.

Plevak predicts that new home starts will rise only about 3 percent to 5 percent in 2016.

Plevak said builders have not been able to supply enough housing for entry-level and first-time move-up buyers.

Due to higher land costs and higher development costs, "markets that were once considered to be affordable housing locations are seeing their prices pushed to a point where many buyers can't afford it," Plevak said.​

Austin American-Statesman
Austin-Round Rock

​Vis​it Austin Housing Market Research​ for the latest data on the Austin housing market. 

Read more at the {Source}

 Search NewsTalk Texas