Recently, I was showing a client of mine some condos in central Austin. She was trying to decide between a condo in Clarksville and a condo in 78704, and she asked which area appreciated better. From the seat of my pants, I speculated that 78704 condos have appreciated more than Clarksville condos. This hypothesis was based on the fact that Clarksville condos have been pricier for some time, so it seemed logical that the 78704 condos would have appreciated more in the past ten years or so.
When I got home, I ran some numbers. I looked at the median sales price annually from 2009-2019 for condos in the following central Austin zip codes: 78701, 78702, 78703, 78704, 78705, and 78751. I then calculated the appreciation rate for condos in each zip code between 2009-2018. The median sales price for 2019 would not have provided accurate data since we are only a few months in to 2019.
As I suspected, condos in 78704 appreciated more than condos in Clarksville (78703). In fact, condos in 78704 had the highest appreciation rate out of all of the central Austin zip codes. In 2008, the median sales price for condos in Austin’s 78704 zip code was just over $169k. In 2018, that number shot up to $376K. In 78704, we are seeing a lot of condo regimes. A condo regime happens when a developer takes a traditional single family lot and constructs two new units on the lot. Often times these units are not attached and live like single family homes. However, they are technically condos and sell for much more than a traditional condo. Thus, I am not surprised by this appreciation rate.
In 78703, which consists of Tarrytown, Clarksville, and Old West Austin the median sales price for condos in 2009 was a little over $347K, compared to $460K in 2018. Out of all the central Austin zip codes I looked at, 78703 had the lowest condo appreciation rate at just over 32%.
As would be expected, condos in East Austin appreciated well over the last 9 years. In 78702, the median sales price for condos in 2009 was about $168K. Last year, that figure jumped to 325K.
Condos in downtown Austin appreciated about 78% between 2009-2018. In comparison, condos in 78705, which encompasses the UT campus area, appreciated about 57%.
Overall, condos in central Austin have appreciated well. If you talk to anyone who purchased a condo about 10 years ago, they will usually tell you one of two things, “I wish I bought more” or “I wish I hadn’t sold 5 years ago, even though I thought I was making a killing when I sold.”
If you are considering buying a condo in central Austin or are curious how much your condo is worth, contact me today.
Sharing Austin real estate updates, home owner tips, & more.