OHA Market Update Series - Nov 5,2025
National: The median age for first-time homebuyers is rising, but this shift brings opportunity: buying later often means stronger financial stability, smarter decision-making, and the ability to build meaningful equity over time. With the right strategy, your first home can be both a stepping stone and a long-term investment in your future.
Local: Texans approved all 17 statewide constitutional amendments, providing property tax relief and funding for infrastructure, education, and water projects. In Austin, however, voters rejected Proposition Q, signaling a preference for stable local taxes despite ongoing growth and affordability challenges.
Intrigued? Keep reading.
(4 minute read)
National Real Estate Update
Housing Trends, Interest Rates, and Market Forecasts
First‑Time Homebuyers May Be Waiting Longer—And That’s Actually a Win
Chances are, you’ve noticed a shift in the housing market recently: the median age for first-time homebuyers has climbed to 40 years old (up from around 30 in decades past). On the surface, it might read like “millennials are losing out to boomers” (and yes, there’s a fair bit of truth to that). But as a real‑estate advisor, I’m here to say: this change also brings opportunity, new thinking, and some powerful positives for buyers ready to step in.
Why it’s happening
A few things combine to shift the trend:
Homes are priced higher, mortgage rates are elevated compared with the post‑pandemic lows, and competition is tougher. These realities slow down the timeline for buyers who once might have bought in their early 30s.
Legacy homeowners (Gen X, Baby Boomers) are holding on to houses longer—those “starter homes” aren’t getting freed up as quickly.
First‑time buyers often need more time to build savings, pay off debt (hello student loans), or figure out exactly where they want to plant roots.
The good things you get from buying later
Here’s where I want you to take note: delay = some drawbacks, yes, but also big advantages.
Stronger income & stability: If you buy in your late 30s or early 40s (or whenever you’re ready), you may be in your prime earning years, you likely have a clearer idea of what you want in a home and neighborhood.
Better decision‑making: Buying isn’t just about jumping in—it’s about anchoring your life, your home, your yard, your pets. The extra experience helps you make smarter choices.
Planned stepping stones: Many first-time buyers can—and should—treat their first home as a stepping stone. The key is to plan to stay put long enough to build real equity—typically 3–5 years at a minimum, but more likely 7–10 years. Yes, buying earlier generally gives more years of compounding equity, and by approaching your first purchase with a thoughtful, medium-to-long-term mindset, you can maximize that growth while still enjoying your home today.
Fewer early‑move regrets: When you buy too soon, you might quickly outgrow the space or the neighborhood. Waiting gives you time to reflect, plan, and choose something aligned with your longer-term goals.
How this plays out for Austin (and you)
In Austin, this shift means some strategic moves for both first‑timers and seasoned buyers.
If you’re a first‑time buyer: don’t feel like you’re behind. You’re just on your own timeline. Use that time to build strong credit, save for a down payment, work with a good agent (hello, that’s me!) to find a home you love.
If you’re moving up or buying your “forever home”: you’re in a strong place. You’ve got more clarity, more income, maybe more cash‑equity or ready‑savings. You can make intentional decisions about the neighborhood, the yard, even upgrades for your dogs.
For sellers or repeat buyers: this slower “churn” in the market means less competition at the starter levels, but also fewer good “move‑up” homes available—so when you find the right one, you act with purpose.
Three practical takeaways
Define your timeline and budget: Age 34? Age 40? Doesn’t matter—what matters is you are financially ready. Focus on affordability, not “average age.”
Look beyond splitting hairs over five‑percent annual home‑price appreciation: Yes, buying earlier gives more years of compounding equity. But ALSO, a yard for your dogs, an open kitchen, and a home you’ll love Monday‑to‑Friday—those benefits are real.
Work with agents who understand non‑traditional timelines: Whether you’re buying later, pricing smarter, or looking for “skip‑starter” homes (homes that will serve you long-term) we can tailor strategy to your life (and your dogs, and your yard, and your brunch‑friendly open kitchen).
Bottom line
Yes—the housing market is shifting. First‑time buyers are older. Boomers and Gen Xers are staying active. The “starter home treadmill” is slowing. But none of that means you are out of the game.
In fact: you’re in a great place. Because you get to choose when you buy, what you buy, and how you build your home. With a partner like me in the Austin market, we can turn what feels like “losing ground” into “strategic advantage.”
Let’s talk. Let’s build that plan. Let’s get you ready—on your timeline.
Austin Area Real Estate & Community Update:
Market Trends, Local News, and Neighborhood Insights
What Austin’s Election Results Mean for Homeowners
Yesterday’s election brought big statewide wins and a notable local “no” here in Austin. Texans approved all 17 constitutional amendments — from expanding the homestead exemption to investing in water and education — signaling strong support for infrastructure and homeowner relief across the state.
But in Austin, voters rejected Proposition Q, which would have allowed the city to raise its property tax rate above the voter-approval limit. That result reflects our city’s ongoing challenge: balancing affordability with the funding needs of a fast-growing community.
Heading Home with the Ballot: A Texas Snapshot
Texans went to the polls in one of those off-year elections that often fly under the radar. On the ballot: 17 proposed amendments to the Texas Constitution. In short, all 17 passed.
Turnout was low — under 8 % of registered voters, according to one estimate. Still, this vote locked in significant structural changes, and as someone who owns a home (and helps others buy homes) in Austin, I’m paying attention.
What’s in the Amendments: The Highlights
Here are the key themes that stood out through the lens of homeownership, tax burdens, and local growth:
Property tax relief and exemptions: Expands the homestead exemption from $100,000 to $140,000 and adds carve-outs for homeowners facing hardship.
Investment in infrastructure & workforce: Creates funds for technical colleges and dedicates sales-tax revenue to state water projects — vital for Texas’s long-term growth.
Public safety & parental rights: Allows judges to deny bail in certain felony cases and affirms parental rights in education.
Tax protections: Prevents future taxes on certain financial transactions and pre-empts new tax types.
Why This Matters for Austin Homeowners
As someone who loves my East Side home here’s why these results matter locally:
Lower property tax burden = more breathing room
Homestead exemptions could lower bills for many Austin homeowners. For anyone balancing mortgage, taxes, and upkeep, that’s real relief.Growth & infrastructure = long-term value
Investment in education and water resilience keeps Austin thriving — supporting property values and sustainable growth.Off-year elections matter
While voter turnout was small, these “quiet” elections shape taxes, infrastructure, and local policy — directly influencing our neighborhoods.For first-time buyers
Lower tax burdens and infrastructure investment make ownership more accessible. For renters in North Austin or Walnut Creek, this could be the push toward buying.
Austin’s Local Story: Proposition Q
Prop Q was Austin’s only city-specific ballot item — a proposal to increase the city’s property tax rate. Voters said no. That decision underscores a citywide sentiment: we value local investment, but affordability still sits at the top of everyone’s priority list.
For Austin homeowners and buyers, that means the city budget will remain tighter, but tax rates stable — at least for now.
Moving Forward
These results show how state-level relief and local restraint can coexist. Homeowners gain protection through exemptions and infrastructure funding, while Austin voters signaled a desire to slow local tax hikes.
If you’re curious how these changes might affect your property taxes — or your next move in Austin’s market — let’s talk. You can schedule a quick consultation below to walk through what’s new and how it impacts your goals.
Jennifer Carey
Realtor and Agent Success Manager at Open House Austin, real estate investor, and renovation enthusiast with Wimberley Airbnbs. She loves mid-century modern design, hiking Austin with her dog, yoga and pilates, and has been enjoying gardening at her new home in East Austin🎶✨
