78642
Austin, Texas

The 78642 ZIP code shows a median sale price of $507,500 with modest appreciation of 4.0% year-over-year, indicating steady but unspectacular price growth. Market velocity has slowed considerably, with properties averaging 153.5 days on market—well above the rapid turnover seen in competitive segments. Only 12% of homes are selling above list price, signaling a shift from the seller-dominated conditions that characterized Austin's market in recent years. This extended marketing time suggests buyers have regained negotiating leverage after years of bidding wars.

These conditions favor patient buyers who can capitalize on the 153.5-day average listing period to conduct thorough due diligence and negotiate terms. The low above-list percentage creates room for offers below asking price, particularly on properties that have sat longer than the market average. Sellers with equity cushion from previous appreciation cycles can still exit profitably given the 4.0% annual gain, but those requiring quick sales may need to price aggressively. Investors seeking cash flow over rapid appreciation will find the stabilized pricing environment reduces speculative competition.

The PropIQ score of 61 signals caution, suggesting underlying market fragility despite positive price movement. This divergence between modest price gains and a warning-level intelligence score indicates potential headwinds—likely affordability constraints or shifting demand patterns that haven't fully reflected in pricing yet. Monitor days-on-market trends closely; any extension beyond current levels would confirm softening demand. The score suggests this market could absorb negative shocks poorly, making timing critical for both entry and exit decisions through 2026.