[ad_1]
Check out what’s clicking on FoxBusiness.com.
Home buyers moving to Austin, Texas out of town are spending an average of $ 22,500 more on home ownership, according to a new report.
Home buyers who moved to the area paid a 7.8% surplus over the asking price for their homes during the pandemic. Locals paid an average of 3.7% above the asking price, according to real estate agent Redfin.
In total, foreign residents in Austin are buying $ 470,000 worth of homes, up from $ 447,500 for local residents, the report said.
CLICK HERE TO READ MORE ABOUT FOX BUSINESS
However, these foreign homebuyers were already looking for more expensive houses. The typical list price for these buyers is $ 439,900, according to Redfin, compared to $ 425,000 for local buyers.
Outsiders also have higher down payments, which the report says is $ 111,500 versus $ 83,725 for locals.
A house in Austin, Texas that sits in the market. (Real Estate Austin) (Real Estate Austin)
According to the brokerage firm, most out-of-towners are moving away from higher-priced destinations, and although house prices in Austin have increased 43% over the past year, they’re still “significantly cheaper” than other areas of the country.
For example, the majority of non-residents are from San Francisco, where the average sales price for a home is around $ 1.59 million.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
“People moving to Austin from out of town typically make big bucks from selling homes in expensive cities on the west coast – especially the Bay Area,” said Andrew Vallejo, an Austin Redfin agent.
Vallejo said overseas buyers also have much more purchasing power than local buyers because “those of them who can work remotely often have high salaries on the west coast”.
Ultimately, this gives them an opportunity to look for bigger, more expensive homes.
[ad_2]
