Austin, TX
Austin’s housing market is in trouble
After having pulled through a dramatic home price correction over the past couple of years, the former pandemic boomtown of Austin, Texas, is now navigating even more troubled waters, as buyers scared off by brewing economic uncertainty are failing to show up for the city’s growing housing supply.
“Our market here was showing signs of price stabilization after unprecedented declines, as buyers re-entered the market after the 3 percent interest rate ‘hangover’ finally wore off at the beginning of the year,” Scott Turner, founder of Austin-based Riverside Homes, told Newsweek.
“But the economic uncertainty caused by tariffs and the risk of recession definitely affected their mentality, making them more cautious and leaving housing inventory levels at nearly an all-time high.”
Brandon Bell/Getty Images
Why It Matters
Between February 2020 and May 2022, the median sale price of a home in Austin jumped by more than 60 percent, according to Redfin data, reaching a peak of $659,500. The increase was mainly a result of the massive influx of out-of-state newcomers sparked by the rise of remote work, which allowed many Americans to relocate to more affordable, more livable cities and turn their back on expensive metropolises.
But the Austin housing market, which had become one of the most overheated in the country, experienced a significant slowdown after the pandemic, with return-to-office orders affecting the number of people relocating to the Texas capital. With a few notable exceptions, home prices have been consistently falling in the city, year-over-year, since late 2022.
The City’s Boom And Bust
“The story of the Austin housing market is basically the same as the national story, just a bit more dramatic,” Austin-based Joel Berner, senior economist at Realtor.com, told Newsweek.
“Following the peak of the pandemic, there was a major run-up in home prices amid record-low mortgage rates as buyers rushed to snatch up homes.”
Eldon Rude, a longtime housing market analyst based in Austin, told Newsweek: “Texas was one of several Sun Belt states that experienced significant in-migration between 2020 and 2022, which resulted in an imbalance in demand over supply for homes.
“Such strong demand, coupled with extremely low mortgage interest rates, resulted in significant increases in home prices in all of the major metropolitan areas in the state.”
The median listing price in the city jumped from $369,745 in April 2020 to $625,000 in April 2022, an uptick of 69 percent in just two years. At the same time, inventory plummeted, though it quickly recovered to pre-pandemic levels by 2023.
“Since then, inventory has continued to grow year-over-year, and March 2025 had more active for-sale listings in Austin than any March in our data history,” which dates to March 2017, Berner said.
But buyers are not exactly jumping on the chance of buying a home, even with more options available on the market.
“Just because home prices are coming down and there are more listings, doesn’t mean that prices are affordable. So there’s still a supply problem in cities like Austin,” Turner said. “I think only 25 percent of Austinites can afford to purchase a home at the median home price.”
Rude said: “With interest rates now higher than they were prior to COVID, coupled with a slower economy and less in-migration into the state, there are now fewer buyers in the market, and what buyers there are face affordability challenges given elevated home prices as well as higher mortgage payments.”
Berner said: “The supply growth has softened prices, and the median listing price in March 2025 was $510,000, down 7.2 percent from March 2024. It has been a slow year, with 12 consecutive months of prices falling year-over-year. The correction has come for Austin sooner and more significantly than the national housing market.”
According to Turner, home prices are now stabilizing after “an unprecedented drop.”
Despite a gloomy outlook for the city’s housing market’s short-term future, Turner said Austin’s economy remains robust.
“Our real estate market is returning to a ‘new normal’ in terms of supply and demand,” he said.
That is—as long as the Trump administration’s tariffs do not massively disrupt the city’s market even further.
“Austin’s economy outside of real estate is fairly diversified and still strong, but neither Austin nor Texas are immune to the impacts of a recession or tariffs, in the case of home building,” he said.
“It will take time for our market to work through this inventory, but despite Austin’s growth, much of this inventory remains unattainable for most Austinites, particularly with rates where they are, making matters worse.”
The Ripple Effect Of Trump’s Tariffs
Turner said that existing homes currently for sale on the Austin market are not going to be impacted much by the tariffs, but these are still influencing buyer behavior, making them “more cautious.”
For new home construction, on the other hand, “the impact of tariffs cannot be overstated,” Turner said. “Significant cost increases, particularly in Texas, where we are more reliant on imported building supplies, combined with falling prices would be devastating, not just to Austin’s market, but nationwide. If it gets worse, homebuilding could be the first major industry hit by ‘stagflation,’”
It is not only tariffs that are causing concerns among homebuilders in the U.S. and Austin—but uncertainty over whether the president would stick to these tariffs or change his mind.
“As homebuilders, we can’t easily adjust our business to such sudden changes,” Turner said. “We are getting notices from suppliers every week regarding price increases.”
Berner said that the direct effect of tariffs on the Austin housing market has not yet been felt, “but as an area with strong new construction activity, the tariffs on Canadian lumber especially will work to drive up the cost of newly built homes in the Austin metro.”
In recent years, the economist explained, builders in Austin have excelled at delivering affordable new inventory to the city’s market, and the median price of a new home in Austin is currently lower than the price of existing homes. That is due primarily to where the new inventory is being built, Berner specified, in outlying areas of the metropolitan area.
“This will be jeopardized by tariffs, as builders will be forced to pass on additional costs to new home buyers,” Berner said. “What we will see even sooner is the indirect effect of the tariffs on consumer confidence, dampening demand for home purchases and leading to another slow year of home sales in Austin.
“Unless mortgage rates drop significantly, we anticipate that depressed homebuyer sentiment will lead to continued price depreciation and low volume of home sales in Austin.”
AUSTIN (KXAN) — Data analyst Corey Yeung created the ATX Running Guide to help runners find community across Central Texas. What started as a personal project has become one of Austin’s most comprehensive running resources.
Looking for a Run Club? There’s a Map for That
When Corey Yeung moved to Austin three years ago, he had a simple question:
“How many run clubs are actually out there?” The answer wasn’t easy to find. While several websites listed local groups, Yeung felt none offered a complete picture. So, he decided to build one himself. What started as a spreadsheet evolved into ATX Running Guide, a website and social media platform that helps runners discover clubs throughout the Austin area.
“The list would be more useful if it were a map and search tool,” Yeung said. “The Instagram page was simply a way to communicate those free resources to the community.”
Today, the guide covers running groups from San Marcos to Hutto and serves as a one-stop resource for runners looking to connect. In this episode of KXAN’S Plus Simple Health, Corey Yeung walks us through everything you need to know about the 200-plus running clubs in Austin.
AUSTIN (KXAN) — The Texas Volts are off to a rough start in the Athletes Unlimited Softball League, but maybe a little home cooking can help them get right.
After playing their first five games on the road, the Volts open play at Dell Diamond in Round Rock at 6 p.m. Thursday against the Utah Talons, kicking off an 8-game homestand.
It’s the first season the Volts will call Dell Diamond home. In the league’s inaugural season last year, the original four teams competed with a touring schedule that included a stop at Dell Diamond. This is the first year that the AUSL, now a 6-team league, will play in home markets.
They have a roster peppered with local stars, including 2-time NCAA national champion middle infielder Leighann Goode from the Texas Longhorns. Aliyah Binford, a New Braunfels native, played collegiately for Ole Miss and former Texas State pitcher Jessica Mullins made an appearance in the Volts’ previous series against the Carolina Blaze.
Goode said there’s been a bit of a learning curve, but she credits her teammates for helping her adjust to the league.
“This group has brought me in and taught me stuff, taken me under their wings,” she said. “They’ve done an awesome job.”
Legendary Texas pitcher Cat Osterman is the team’s general manager, and the head coach is Texas State’s Ricci Woodard.
“We’re ready to rock and roll at home,” Woodard said. “I’m anxious to see what happens now that we get to play in our own place.”
Texas Tech pitcher NiJaree Canady, the No. 2 overall pick in the 2026 draft, joined the team last weekend after a brief contract holdout.
The Volts are 1-4 this season, picking up their lone win over the Oklahoma City Spark on June 10. They’ll face the Talons in a 3-game series, the Chicago Bandits for a pair June 23-24, and finish the homestand with a 3-game set against the expansion Portland Cascade on June 26-28.
Ryan Sanders Baseball, the organization that owns and operates the Round Rock Express, is an operating partner with the Volts and an investor with the AUSL.
Austin, TX
Investigators seek clues in small jet crash that killed 1 in Texas, where bystanders rushed to help
(AP) – Investigators combed through wreckage Wednesday for clues to why a business jet crashed on a Texas highway, killing one person on board after its pilots reported mechanical problems while requesting an emergency landing at a nearby airport.
The fiery crash late Tuesday in Laredo near the Mexican border sent bystanders racing from their cars to help police rescue passengers and crew from the burning aircraft. The crash killed Joshua Baer, a leader in Texas’ technology and startup sectors, the president of Baer’s company told the Austin American-Statesman.
Video from the frantic scene showed someone trying to smash the cockpit glass with a sledgehammer, while others used makeshift levers as they worked to open the plane’s door. Local officials said a firefighter entered the smoke-filled jet to extract one person still inside after the rest had escaped.
“While the loss of life is deeply regrettable, it is nothing short of a miracle that this tragedy did not become a mass fatality event,” Laredo Mayor Victor Treviño told a news conference Wednesday.
The cause of the crash was not immediately known. The Federal Aviation Administration was investigating along with the National Transportation Board.
Laredo Police Chief Miguel Rodriguez Jr. said investigators working to reconstruct the crash were at the crash site Wednesday.
Crash victim worked to help entrepreneurs launch startups
Baer was the founder and chief executive of Austin-based Capital Factory, which helps entrepreneurs connect with investors and others to launch their businesses.
“Joshua was a fearless leader, a brilliant partner, and a dear friend to so many of us,” Capital Factory President Bryan Chambers told the Austin newspaper.
Capital Factory executives did not immediately return phone messages Wednesday from The Associated Press.
Baer lived in Austin with his wife and three children, according to his LinkedIn page. He recently taught a student entrepreneur class at the University of Texas at Austin.
“I help people quit their jobs and become entrepreneurs,” Baer said on his LinkedIn page.
In a social media post, U.S. Sen. Ted Cruz of Texas called Baer “one of the most significant figures driving innovation and entrepreneurship across America.”
Police did not release the name of the person killed, citing a request from family members. Rodriguez said those on the plane included two pilots and three teenagers.
Pilots reported low fuel, electrical issues, airport director says
The Cessna Citation Latitude twin jet departed Tuesday evening from the Mexican resort city of San José del Cabo and was bound for Austin, Texas, the FAA said in a statement.
The plane was operated by NetJets, a company owned by Warren Buffett’s Berkshire Hathaway that lets people buy part ownership in private jets. NetJets said in a statement it was cooperating with authorities.
The jet went down at about 10 p.m. Tuesday on the Loop 20 highway, just a few minutes after its pilots radioed the local airport seeking to make an emergency landing. Their call to air traffic controllers “mentioned low fuel and a power outage,” Laredo International Airport Director Gilberto Sanchez said.
“They had mechanical issues and they lost communication with the tower,” Sanchez said Wednesday, “and that’s when the accident happened.”
Dashcam video posted on social media showed the aircraft careening down the highway and knocking down a light post before coming to a stop near the airport. The jet also barreled into a car, sending one motorist to a hospital in stable condition, said Laredo police investigator Jose Baeza.
Video posted to social media showed the plane on its side, smashed into a highway barrier with the tail ripped from the fuselage.
“It looked like part of a movie. I was in shock,” said Zayra Garza, an esthetician who was driving her co-workers home when she came upon the crash.
Garza, who shot video of the scene as her husband ran to help, saw motorists leave their cars to try to help smash the cockpit glass. She said the plane’s door opened and three people who looked like teenagers rushed out, followed by someone who appeared to be a pilot. Another crew member tried to pull out a person who seemed to be unconscious.
Smoke billowed from the plane as a firefighter climbed into the aircraft to rescue the remaining passenger. Police officers helping prop open the door had to back away as they doubled over coughing because of the intense smoke. Police said five officers were treated at a hospital for smoke inhalation.
“What was worrying me was the fire,” Garza said. “I was concerned that it could have just exploded at any time.”
This was the third significant aviation accident in as many days. A B-52 crashed Monday during a test flight at Edwards Air Force Base in California and killed all eight people aboard, while on Sunday, 12 people were killed when a plane on a skydiving outing in Missouri crashed.
___
Golden reported from Seattle; Collins reported from Hartford, Connecticut; and Bynum reported from Savannah, Georgia. AP journalists Josh Funk in Omaha, Nebraska, and Jeffrey Collins in Columbia, South Carolina, contributed to this report.
Copyright 2026 The Associated Press. All rights reserved.
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