Austin, TX 78721 Real Estate Market Report

ZIP Code: 78721
Report Date: March 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

The median sold price in Austin, TX (ZIP: 78721) stands at $459,950, reflecting the actual market transactions that indicate a more accurate representation of property values compared to listing prices. This area has experienced a price trend that is down year-over-year, suggesting a softening market despite the current median listing price of $435,000. The gap between listing and sold prices may indicate pricing friction as sellers adjust expectations in response to market conditions.

Sales activity in this ZIP code appears to be characterized by slower sales velocity, with properties spending a median of 286 days on the market. This extended timeframe may reflect elevated inventory levels relative to sales activity, contributing to a more cautious market environment. Overall, while demand is increasing compared to last year, the combination of high inventory and elevated interest rates continues to exert downward pressure on prices, leading to a neutral market temperature.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

Note: The relationship between property values and rental rates reflects different market dynamics. Higher-priced properties may have lower rental yields due to factors such as luxury market positioning, owner-occupancy preferences, or long-term appreciation strategies rather than immediate rental income maximization.

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Property Taxes

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Liquidity & Velocity

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in Austin, TX, around 6.11% are 0.54% lower than the 6.65% average seen one year ago.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. The median sold price of $459,950 indicates a significant gap from the median listing price of $435,000, suggesting potential pricing friction in the market.

2. Properties in this area are experiencing a median days on market of 286, indicating slower sales velocity compared to the broader market.

3. The market is showing a neutral temperature, reflecting balanced conditions despite the down year-over-year price trend.

4. With a median market rent of $2,088, rental prices are also experiencing a down trend, which may affect investor sentiment.

5. The current property tax rate of 0.574% remains a consideration for potential buyers, impacting overall affordability in the market.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.