Mistakes People Make When Moving to Austin
Looking to buy a home in Austin, Texas? Avoid these common mistakes when buying a home in Austin. I’m Tiffany Moore, your local realtor and broker in Austin, Texas. I help people from all over the world move to Austin. If you’re planning to move to Austin, contact me for assistance.
In this video, I’ll talk about the cost of living and housing in Austin. The first mistake people make is not researching and planning for a new city they’re moving to. If you’re moving to Austin from somewhere like the Bay Area, Seattle, or New York City, you’re going to look at the home prices here and be like, oh my gosh, this is taking candy from a baby. This is insane. But your perspective will change if you move to Austin from Covington, Kentucky, St. Louis, Missouri, or Dallas. So it’s not like taking candy from a baby.
Budgeting appropriately is crucial when moving to a new city, especially Austin. Texas has high property taxes but no state income tax. Although Austin is relatively affordable, property taxes are high and can range from 1.4% to 3.2%, depending on the neighborhood. Don’t forget to add property taxes to your monthly payment when buying a home. You can work with me to determine your comfortable mortgage payment and purchasing price range.
The second mistake people make when they move to Austin is underestimating the traffic. When moving to Austin, it’s essential to consider the traffic patterns, as Austin is one of the fastest-growing cities in America and is no stranger to gridlock traffic. To avoid getting stuck in bumper-to-bumper traffic, you should check traffic patterns using Google Maps and consider different routes. If you’re going to be working downtown, give yourself extra time to leave the house due to traffic and accidents. When choosing a neighborhood to live in, consider your commute and how much time you’re comfortable spending on the road. Unlike cities with robust public transportation systems, Austin’s commuter rail is limited and mainly serves commuters. So, it’s best to plan on driving instead of relying on public transportation.
The third mistake people make is not knowing where they want to live. When moving to Austin, it’s essential to consider your lifestyle and interests when choosing a neighborhood. Research areas that fit your personality and reasons for moving, such as proximity to nature, parks, and trails. To experience the classic Austin lifestyle, you must live in the city for live music, shows, bars, and restaurants. For water activities, consider living around Lakeway and Bee Cave for easy access to the Colorado River. Master-planned communities are great for families looking for nearby playgrounds, pools, and parks. Find the right place for you by talking to a real estate agent who can prioritize areas based on your needs and wants. Austin has unique pockets with their own character, so don’t worry if you don’t know about them yet. Let your agent understand your interests and lifestyle to find the best spots for you.
The fourth mistake people make is waiting too long to get started. Don’t wait too long to start when looking for new construction in Austin. Home-buying can take as little as two to three weeks if you research and narrow your preferences beforehand.
With resale homes, the process from looking to closing takes about 60 days. However, with new construction, we need to start the process earlier, especially if we’re building a home from scratch. Builders are selling homes faster than they did in the second half of last year, so there’s urgency with new construction.
Spec homes, where all the options have already been decided by the builder, usually go on sale three to six months before completion. Don’t wait too long to determine if you want to buy a new construction home.
Building a home from scratch in Austin takes about 12 months from signing the contract to completion. However, every builder and neighborhood differs, so it can take nine to 13-14 months.
If you want to build a home from the ground up, plan on taking a year. Don’t expect to move in too quickly if you’re starting the process in February and want to move in by October. Discuss your timeline and preferences with a real estate agent when considering building a home in Austin.
The fifth big mistake people make when moving to Austin is waiting for the real estate market to crash. Although there have been talks of a recession and market crash, waiting for it to happen may not be the best strategy. Real estate is hyper-local, and what’s happening in one area may not be the same as another. Waiting for the market to crash also means missing out on opportunities to buy homes at reduced prices.
Interest rates are decreasing, and new constructions offer buyer incentives and reduced interest rates. Waiting to buy a home until after a market crash is not a good idea, especially if you plan to stay in Austin for the long term. Real estate is a long-term investment, and the market going up or down may only affect you if you plan to sell your home soon. It’s best to talk to a real estate agent to help you navigate the market and avoid common mistakes when moving to Austin. Reach out to me, I’ll be happy to help you out.
