Austin Real Estate Market Sees Inventory Surge in Early 2025

The Austin real estate market is undergoing a noticeable shift in 2025, with new data from Team Price Real Estate showing a significant rise in inventory. As of May 16, 2025, the number of new listings recorded in the Austin-area MLS has reached 22,372. In comparison, pending listings—properties under contract—stand at 16,815. This results in a year-to-date difference of +5,557 more listings than pending sales.

This growing gap between new and pending listings is among the highest seen in the last 25 years. In fact, 2025 ranks as the third most imbalanced year in this category, behind only 2003 and 2004, which had differences of +8,124 and +6,565 respectively. These earlier years marked periods of high inventory buildup that eventually preceded broader market corrections.

Looking back through historical data from 2000 to 2024, many years reflected strong buyer demand. For example, in 2021 and 2020, pending listings far outpaced new listings, with differences of -6,031 and -4,881 respectively. These years were defined by intense buyer competition, often resulting in multiple-offer scenarios and homes selling quickly. Similarly, the stretch from 2012 through 2019 consistently showed negative differences, highlighting markets where demand exceeded supply.

However, beginning in 2022, this trend began to reverse. That year ended with 19,759 new listings and 23,200 pending, showing a demand surplus, but it was followed by 2023's near balance with just -732 difference. In 2024, the pendulum began to swing more noticeably in the other direction, closing with +2,665 more listings than pendings.

Now in 2025, the +5,557 surplus suggests a continued correction in the Austin housing market. With fewer contracts being written relative to new homes hitting the market, buyers are gaining more options and sellers may begin adjusting pricing strategies to stay competitive. The implications of this shift are broad, potentially affecting pricing stability, negotiation leverage, and overall market pace throughout the remainder of the year.

The data gathered and analyzed by Team Price Real Estate provides a clear, long-term view of the region’s housing cycles. Comparing current numbers to past patterns helps identify emerging trends and informs strategic decisions for buyers, sellers, and investors alike. While 2025 is only partway through, this significant inventory gap serves as an early indicator of market direction.

For those closely watching Austin’s housing trends, continued monitoring of the new listing to pending ratio will be essential to understanding whether this inventory buildup will taper off or continue into the summer and fall months.​