78702
Austin, Texas

The 78702 market shows measured appreciation with the median sale price reaching $665,000, up 6.0% year-over-year, outpacing inflation but signaling deceleration from Austin's prior growth trajectory. Homes are averaging 86 days on market, substantially longer than the sub-30-day periods seen during peak demand cycles. Just 5% of properties are closing above list price, indicating sellers have lost pricing power and multiple-offer scenarios have become rare rather than routine in this central Austin ZIP code.

This environment favors patient buyers with financing secured and negotiation skills, as the 86-day market time provides room for inspection contingencies and price discussions that were impossible during competitive periods. Cash investors seeking rental yields should model conservative appreciation assumptions given the 6.0% annual gain and extended absorption rates. Sellers with equity built before 2022 can still exit profitably, but those who purchased within the past 18 months face minimal appreciation and should avoid listing unless necessary.

The PropIQ score of 61 signals caution, suggesting current pricing may not hold if days-on-market extends beyond 90 or if the 5% above-list figure deteriorates further. Inventory levels and mortgage rate movements will determine whether the market stabilizes at this valuation or requires downward price discovery. Monitor monthly absorption rates and builder incentives in competing ZIP codes, as any supply increase could pressure the $665,000 median downward through 2026.