A Check in On Austin’s Cost of Living in 2018
While Austin continues to grow and grow, the city is undergoing a ton of changes and that’s having a real impact on the cost of living in the city. With condo and hotel developers grabbing up a lot of the available real estate in and around the city center, the cost of rents is going up attracting higher income tenants driving up prices for goods, entertainment, real estate, and more.
So how has Austin’s cost of living changed in the last year?
Our most recent data looks at 2017 prices for housing, cost of good, and more. When looking at nationwide statistics, Austin is still one of the more affordable metro areas in the country, especially when you look at some of larger urban centers like New York, San Francisco, and Los Angeles. Over the last year, their cost of living has more than doubled in some cases according to a report by the Austin Chamber of Commerce.
Median Home Prices
One of the major changes in Austin’s cost of living index is the median home price. Austin’s median home price has been steadily increasing anywhere from 5% – 10% annually since 2014 data. The final number in 2016 saw Austin’s median home price at $284,000.
Tracking data in 2017, the median cost is slightly over $300,000 – so Austin’s median home price continues on its rise despite changes in home sales numbers and home construction
What this means for Austinites living in the area is that if you already own a home, you can expect your property taxes to go up. If you’re looking to buy Austin real estate, you should budget around $300k for a home in any competitive area.
When you’re looking at other cities outside of Texas, especially major metros, Austin is still a relatively affordable place. But looking at other Texas-based cities, Austin’s cost of living is higher compared to everywhere else except the Dallas metro area.
Cost of Goods
In general not much has changed for Austin’s cost of living if you’re looking at the cost of goods. Even with the increased median cost for a house, Austin residents aren’t necessarily seeing an increase in other things like cars, groceries, and entertainment.
Perhaps the most comprehensive guide on the cost of living for non-housing matters is from Expatisan and it breaks down the average cost for things like food, clothes, entertainment, and more. You can check it out here: https://www.expatistan.com/cost-of-living/austin.
According to this data, prices haven’t changed over the last couple years. You’ll still be paying around $15 for a lunchtime meal in the business district, $23 for a couple tickets to the movies, and $73 for a monthly gym membership
Overall, if you’re in the housing market, you’re going to be paying more for a home, thus increasing the cost of living, BUT, you won’t necessarily be paying more for everyday goods.
If you’re interested in living in Austin, get in touch with The Clausen Group today!