Real Estate is very much hyper-local. One national report will say X, and another will say Y. Even taking a macro approach when looking at the San Antonio Real Estate market, overall, it seems excellent. However, some areas are declining in value, and some are ascending in value. There are so many factors that contribute to this that it is very important to ensure that you consult with a professional who not only has access to the information that you need to make a great real estate decision but also has the experience to help you make the right real estate decision.   

With regards to San Antonio, San Antonio is No. 8 among the top 10 hottest real estate markets in the U.S. to watch in 2024, according to a new Emerging Trends in Real Estate report from PricewaterhouseCooper (PwC). 

The U.S. Census Bureau found that Bexar County saw an additional 28,635 people from July 2021 to July 2022, solidifying San Antonio's growth among the fastest in the U.S. 

With this prediction, one would assume that we would experience a steep increase in the prices of homes in and around San Antonio. However, a recent report from Realtor.com found that the prices of homes in Austin, Dallas, Houston, and San Antonio are expected to drop by 9.4%, with Austin seeing the steepest decline at 12.2%.  
 
I believe that although they have this perspective, we are seeing that with the dropping of interest rates and incentives that sellers are offering to buyers, it is too early to predict. We are experiencing more of a U-shaped recovery than a V. We just don’t know yet exactly how sharp the uphill climb will be. The good news is that I feel we have gone beyond the bottom and are climbing back up the hill toward a positive year-over-year growth in home values.   
 
Additionally, many areas in San Antonio at a hyper-local and neighborhood level have continued to experience favorable growth even while the market declined in 2023 due to interest rates. Real Estate purchases and valuations should be considered at a hyper-local level vs a Macro one.  

How can homebuyers prepare:  

In my opinion, San Antonio Homebuyers should pay attention to mortgage rates: Rates have really throttled the market, so much of our market is hinging on rates. During 2023, rates peaked in October at almost 8%. Since then, we have seen a slight decrease. According to a recent San Antonio Express-News Article, the Mortgage Bankers Association forecasts rates will drop to 6.1%, while Realtor.com predicts rates will fall to 6.5% by the end of 2024. Looking at these predictions, the rates will remain high but fall somewhere in the 6% range.   We have buyers in this current environment with rate buy downs and incentives offered by LRGRealty.com getting into the low to mid 4% range, rapidly influencing affordability and will absolutely help move the needle on the overall market.   

Looking at affordability: When it comes to affordability in 2024, you can continue to expect a minimal decrease in cost. The median sale price of a home in Bexar and surrounding counties was $315,000 in November 2023. Relator.com predicts that the cost of homes in the San Antonio-New Braunfels area will decrease by 9.4% at the end of 2024.  

When you are ready to move into homeownership, contact our company, LRG.  I ensure that all  LRG agents are prepared to assist with affordability, incentives, and special home buyer programs such as rate buy downs, down payment assistance, and no money down home loans for all, and we can also connect you with a trusted lender who can help with all your needs. We are committed to helping you WIN! 

Predictions for home sellers in 2024:  

Homes are taking longer to sell-period. At the end of 2023, the sales of existing homes were down 24%, while the sales of new homes were up 38%. Sellers will face more competition from builders. Builders will continue to maintain supply and focus on lower-priced homes. 

If you want to sell this year, keep in mind “location, location, location.” Consider the neighborhood, school district, recent developments, and other factors when determining your asking price. LRG agents will walk you through the pros and cons of selling your home and educate you on the current market conditions. At LRG, our Guaranteed Offer Program puts you in control! Get a Guaranteed Offer on your home in just 48 hours if you qualify for the program. No staging. No cleaning. No showings. No open houses. You bypass the traditional market and pick your closing date—as soon as three weeks after offer approval. Click here to see if you qualify.