78723
Austin, Texas

The 78723 market has shifted decisively from the frenzied conditions of previous years, with the median sale price now at $535,000 after declining 7.0% year-over-year. Homes are averaging 90 days on market, nearly triple the sub-30-day inventory turns seen during the 2021-2022 peak. Only 10% of properties are closing above list price, indicating sellers have lost pricing power and bidding wars have become rare events in this zip code.

This environment favors patient buyers with financing already secured and sellers who purchased before 2020. The 90-day absorption rate gives buyers time to conduct thorough due diligence and negotiate concessions that were impossible when only one in ten homes commanded over-ask prices. Investors seeking cash-flowing rentals may find reasonable entry points at $535,000, though appreciation headwinds remain given the negative 7.0% trailing performance.

The PropIQ score of 55 signals continued caution rather than immediate recovery, suggesting the price compression may not have fully run its course. Buyers should monitor whether days-on-market extends beyond 90 or contracts back toward 60, as that metric will indicate whether current conditions represent equilibrium or further softening. The 10% above-list figure needs to drop below 5% or climb above 20% to confirm the next directional move in this zip code.