ZIP codes in and around downtown San Antonio saw the metro’s highest jumps in typical home values compared to a year earlier, according to Zillow’s latest analysis.
The big picture: More inventory, partly from new construction, is “a key reason home value appreciation in Texas has come back down to earth after skyrocketing during the pandemic,” Zillow senior economist Nicole Bachaud tells Axios.
Zoom out: San Antonio (-1.9%) and Austin (-4.1%) are two of three major U.S. metro areas where typical home values are down year-over-year, Zillow found.
- Dallas-Fort Worth and Houston each posted increases that were under 2%.
Reality check: Zillow’s analysis includes some smaller and rural ZIP codes, where there tend to be fewer, and less expensive, houses.
- “In a small ZIP code, a few houses selling for higher prices may make the entire ZIP look like prices are appreciating quickly,” Zillow data scientist Anushna Prakash says.
Between the lines: Home value growth varies locally because of factors like job opportunities, development and population trends, which impact supply and demand.
