Company Update
As a firm one of our core principles is education. This helps ensure that we stay abreast of changes in the industry and helps keep our minds sharp and tuned to the currents of legal and other changes that impact your assets. One of our favorite sources of knowledge is through NARPM, or the National Association of Residential Property Managers and the conferences and education they host. In September, your property manager will be attending the Texas Style Conference hosted by the State Chapter of NARPM right here in Austin! We're quite excited about the information and opportunies these events pose for us as a team and a firm!
One of my goals in these monthly posts is to bring value and useful information about not only our firm and the rental market, but the market as a whole for your benefit. So I'm excited to bring a fresh new insight to you through the experienced words of Mike Minns of Atlas Realty. Mike has been practicing real estate here in the greater Austin market 25 years and has extensive experience in both the rental and sales markets. His approach to real estate is in line with our own values, so much so that a number of years ago we purchased the property management arm of his firm. Since then, Mike has been a close companion and source of information on market trends and happenings. Going forward, you'll be able to benefit from his knowledge and experience through appearances in our newsletter. These will feature sales perspectives, insights, and projections to help add an extra layer of information into your financial considerations.
Sales Market Update from Mike Minns
Some "good" news this week as the national jobs report has come out with a downward adjustment. This means the economy was softer than originally expected, so mortgage rates adjusted downward to the lowest we have seen in some time, almost 6.57% on average. I suspect this will spur a few things. First, we will see some buyers come back into the market with the lower rates, and second, we will likely see the Fed lower the Fed rate at least one more time this year. If we see the Fed adjust, that will mean good news for the real estate market recovery, as it will likely mean winter sales will be stronger than what we're currently seeing in the market. However, things need to slow down enough that the Fed is willing to take its foot off the brake, so we'll continue to keep an eye on the market and hope for a winter surprise.
Overall, in the Austin Market, I tell clients they should only sell right now if they HAVE to sell, not just because they want to sell. Prices are down, and buyers are picky and asking for everything, even the kitchen sink. The current market is one of the slowest I have seen in 25 years, and a normal "down market" lasts 4-10 years, and the same can be said for an up market. We are in the 4th year of a down market, and I think it likely will remain slow until (ideally) the next sales season, but it could drag on this way for one to three more years. At which point, we will likely see values rise sharply in the short term, and after that spike, I suspect, values will return to a more normal growth rate. Currently, while prices are still up considerably from 2020, they're still down 15-30% in many cases from their peak, but I believe they have reached as far down as they'll go. We need to see some stability in government policies and a reduction in inflation before we will have a chance at recovery. I have seen quite a few down markets in my twenty-five years of business here, and each time, once a recovery starts, I see that within 6 months to one year, values are back to the peak values.
~ Mike Minns, Atlas Realty
Maintenance Update
There was recently a sizeable hail storm in the Austin area. Since then, we’ve dispatched our roofer to evaluate homes we suspected to be in the impact areas. Those owners with hail damage were contacted and provided quotes and options for proceeding with replacement. If your home’s roof is on the older side, and received hail damage, we’d encourage you to review those estimates and discuss replacement with your property manager. Insurance companies are increasingly moving towards denying and reducing coverage for hail related damages. So revisiting this discussion with your property rather than waiting for the next hail storm is recommended. Regardless, we’re on standby to ensure you’re taken care of, and any questions resolved.
Rental Market Statement – August 2025
In the last few weeks we’ve seen the market pull back on activity, with showing numbers trending downward in our own listings and is being experienced throughout the rental market as a whole based on discussions with other management firms in the area. In the market as a whole:
- New listings coming to market are down quite a bit.
- Days on market (how long it takes a property to rent) are up (in line with normal market trends)
- New leases (how many properties have rented) is down substantially.
With this information I’m expecting the market to get more competitive on the landlord side as we see a shift upwards in days on market, and a decrease in number of listings renting. As renters start to have more choices, and realize their ability to make more requests, we’re staying flexible and adaptive.
To help stay ahead of this, be prepared for requests from your property manager if you have a home on the market for things that may help it be more competitive. Adding an appliance like a refrigerator, ceiling fans in bedrooms, upgraded blinds, or other tweaks. These things are one-time expenses that can really help your home pop and attract a new renter!
You can view the Rental Report from the Austin Board of Realtors here. We pull our information from the first four pages, Austin MSA and City of Austin.
Thank you for your continued trust and business.
Christopher M. Francis
Owner / Director of Operations
Rollingwood Management, Inc.
08/18/2025