Co-own real estate report: Austin, Texas

Slap on that cowboy hat and get ready to party in the party city of Texas!

Austin, Texas, is known for its incredible music, delicious restaurants and food trucks, excellent university, and vibrant tech scene.

It’s a city on the move, where people who love the outdoors, warm weather, and delicious BBQ flock to live. With its never-ending conferences and music and sports events, it’s a city that attracts people from around the world.

It doesn’t just attract people, though. It also attracts companies and jobs. Forbes magazine has consistently ranked Austin as America’s fastest-growing large city for most of the last decade. Forbes also put Austin at the top of its list of U.S. cities with “the best chance to prosper in the coming decade.” It is then no surprise the Austin area has become a major technology hub, with more than 4,000 technology companies, including Apple, Google, Facebook, Tesla, Samsung, Dell, AMD, Cisco Systems, Intel, Oracle, National Instruments, GM, and Cirrus Logic.

Not surprisingly, Austin has become a major destination city for U.S. migration, making it a top choice to co-own real estate.

What makes Austin attractive for co-buying

Austin consistently ranks as one of America's best cities to visit according to national publications such as US News and World Report, Money Magazine, Kiplinger, and Forbes. This makes it easy to understand why the Austin area draws more than 30 million visitors per year.

Known as the live music capital of the world, Austin offers world-renowned festivals such as SXSW® and the Austin City Limits Music Festival – along with more than 250 music venues featuring rock, blues, jazz, hip hop, and other genres nightly. However, Austin’s appeal extends well beyond music with outstanding dining experiences, world-class sporting events, an oasis of outdoor activities, and other unique happenings to satisfy any itinerary.

Additionally, with an influx of corporate relocations to Austin, the area is increasingly drawing business travelers year-round, too. All of these factors combined make Austin a strong place to plant down permanent roots and purchase a home.

5.1% increase in median home sale price year over year

$578,000 median home sale price

98.5% sale-to-list price

Short-term rentals in Austin

Austin’s short-term rental statistics include:

65% occupancy rate on Airbnb

$3,200 average monthly revenue on Airbnb

$234 average daily rate

73 / 100 rental demand

67% of listings are on Airbnb, 10% on Vrbo and 23% listed on both

88% are entire home rentals

Austin is an increasingly popular short-term rental (STR) market. STR regulations and requirements vary by city, so please check the city of Austin for further information.

What to see in Austin

Relax at Lake Travis

Built in 1942, Lake Travis, a reservoir on the Colorado River, is located around 30 minutes northwest of Austin. It is Texas’s most visited lake, and it makes for a nice day or weekend escape. Spanning 30 square miles, there’s a lot to do in the area: swimming, hiking, biking, ziplining, picnicking, boating, and more. You can rent canoes, kayaks or motorboats. Enjoy some outdoor fun and relaxation on the water.

Listen to Live Music

Welcome to Austin, the live music capital of the world! There’s always some live music going on or a big musician in town. You’ll find a lot of music on Austin’s world-famous Sixth Street entertainment district in the downtown area. Sixth Street is one of the most iconic streets in Austin. Most of the bars host musicians, making it a destination for locals and tourists alike.

Go to a football game at the University of Texas

Whether you’re a Longhorn fan (hook’ em!) or not, the University of Texas is a destination to visit when in Austin. If you happen to visit during football season, go tailgating and watch the game.  

Zilker Metropolitan Park

Sitting across the river from downtown Austin is a 351-acre park. Zilker Metropolitan Park has some of the city’s most popular attractions – from art museums to swimming holes – as well as several athletic fields and plenty of open space for strolling. It could take a day or two to explore everything Zilker Metropolitan Park has to offer.

Austin

Nearby cities

• San Antonio, Texas – 2 hours
• Houston, Texas – 2 hours, 40 minutes
• Dallas, Texas – 3 hours

Austin co-own opportunities

9012 Wampton Way, Austin, TX 78749

Asking price: $675,000

Estimated down payment: $135,000

Estimated mortgage: $3,895/month

Estimated Airbnb revenue: $4,830/month

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2620 Tinmouth St., Austin, TX 78748

Asking price: $549,000

Estimated down payment: $109,800

Estimated mortgage: $3,168/month

Estimated Airbnb revenue: $5,544/month

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10325 Salida Dr., Austin, TX 78749

Asking price: $635,000

Estimated down payment: $127,000

Estimated mortgage: $3,664/month

Estimated Airbnb revenue: $4,830/month

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‍Sources:

Austin Airbnb Calculator

Austin Housing Market

Nestment, Inc. does not guarantee and is in no way responsible for the accuracy of information provided in this blog post. All information is provided “AS IS” and with all faults. Data presented here may not reflect all real estate activity in the market.  While the information on this site is about legal and tax issues, it is not intended as legal or tax advice or as a substitute for the particularized advice of your own attorney and tax professional.