San Antonio Real Estate Market 2023

San Antonio median home values stats and descriptions 2023

San Antonio housing trends have been on the upswing. The average home value in San Antonio as of October 2022 was $331,741. This was 3.36% lower than the national average of $343,292. RealWealth members who invested in San Antonio duplexes paid $500,000 on average, collected an average of $3,500 in rent per month, and had an average RTV ratio of 0.7% (23% greater than the US average). The San Antonio real estate market is somewhat competitive, with a Redfin score of 56. Homes sell in 39 days, on average.

San Antonio median monthly rent stats and descriptions 2023

With a median monthly rent of $1,473 and a price to rent ratio of 18.76, it’s clear that renting is more affordable for residents than buying in San Antonio. This may explain why 46% of households in San Antonio rent their homes.

Median home value appreciation (2014-2023)

Home prices in San Antonio have been increasing steadily over the past few years. The average home price in San Antonio has increased 89% since 2014, almost 6% more than the national average appreciation rate of 84% for the same period. From October 2021 to October 2022, the average price of a San Antonio home increased by 20% from $276,373 to $331,741.

Median monthly rent appreciation (2014-2023)

San Antonio’s housing market has seen rapid growth as rent prices have increased significantly. Between February 2021 to February 2022, rents in San Antonio increased at a rate of 24.2%. This was one of the highest rates of rent growth in the country. The average rent in San Antonio has increased by 45.7% over the last eight years, at an annualized rent price appreciation rate of 5.52%. Rents have grown 11.8% faster than the average US rent growth over the last eight years, while they’ve increased 9.2% from October 2021 to October 2022 alone.

Strong rental market

New residents and high real estate prices are driving demand for rental units in San Antonio. The San Antonio Business Journal reports that San Antonio ranks as one of the most stable markets for rental activity in the United States. In the San Antonio metropolitan area, renter-occupied households make up 39% of the total occupied housing units and 46% of all households in San Antonio are renter occupied.

Strong job growth

San Antonio has a diverse economy, with strong job growth in both the public and private sectors. The city is home to more than 400 corporate headquarters, including that of regional grocery chain H-E-B and insurance company USAA. The GDP of the San Antonio-New Braunfels metropolitan area is over $132.1 billionand has grown by more than 58% since 2010, according to the Federal Reserve Bank of St. Louis.

High home price appreciation rates

Home prices in San Antonio are expected to continue their impressive climb over the next few years. With increased housing activity and real estate development, it’s no surprise that San Antonio was chosen as one of 10 markets to watch in 2023 by the NAR. In the last eight years, home prices have risen by 89%, nearly 6% greater than the national average appreciation rate.

Fast population growth

San Antonio is experiencing a population boom, and it’s expected to continue until at least 2050. The city has seen a 20.84% population increase since 2010, which is 186% greater than the US population growth rate. By 2050, it’s projected that the metro area will have a population of four million people.

Major tourist destination

San Antonio attracts a great deal of tourists, so it is not surprising that short term rentals are a lucrative investment market here. Permits are required for those listing property as short term rentals, but they’re easy to obtain. Tourists are vital to the local economy in San Antonio, as they bring in an estimated $16.2 billion annually. The city’s central location makes it an ideal location for business travelers and vacationers alike. Many people come to San Antonio to see the River Walk, which is one of the most famous tourist attractions in Texas. The River Walk has many restaurants and shops along its banks, making it a great place to spend an evening or afternoon with family or friends. The city’s other major attractions include the Alamo—a historic site where Texans fought off Mexican forces in 1836—and SeaWorld San Antonio—an aquatic theme park that offers rides, shows, and educational opportunities for visitors young and old.

Newsworthy building developments and projects in San Antonio

 

Jefferson Bank

Jefferson Bank has a new headquarters building. The 13-story structure is a gleaming monument to capitalism and offers sweeping views of both the highway bend and a miles-long stretch of Broadway Street. The new headquarters, which opened in fall 2022, is based at 1900 Broadway, between Josephine and Grayson streets. It’s convenient for both customers and employees, most of whom currently work in the bank’s main office on North Loop 410 as well as in branches and offices across town. Jefferson State Bank opened with its original location at 1904 Fredericksburg Road in 1946. Today it operates 11 financial centers in San Antonio, Boerne, and New Braunfels under the name Jefferson Bank.

The Rock at La Cantera

The Rock at La Cantera is a unique sports complex located at the intersection of I-10 and 1604 in Northwest San Antonio. It’s part of a $500 million legacy project being developed by the San Antonio Spurs, and it will include a human performance research center, 22 acres of green space, a state-of-the-art Spurs performance center and a public outdoor event plaza.

The Residences at Grayson Heights

The Residences at Grayson Heights are a collection of luxury rental units in the heart of downtown San Antonio. The building is located on Grayson Street, right between the Pearl and the Blue Star Arts Complex. The project will consist of two buildings totaling 240,387 square-feet. One building, which will be four stories tall, will wrap around a six-story parking garage and house 248 units. The second building—three stories tall—will house 33 units with tuck under garages.

San Pedro I – UTSA School of Data Science

UTSA’s new San Pedro I building is complete, and construction crews are making modifications to the building in anticipation of its use by January 2023. The building was built at a cost of $91.8 million, and it sits along San Pedro Creek east of UTSA’s Downtown Campus. The six-story structure is 167,000 square feet and houses the School of Data Science and National Security Collaboration Center.

The Floodgate

Construction on a 16-story octagonal apartment building known as The Floodgate is expected to be completed in September 2023, having been under construction since April 2021. The $43 million project was developed by Keller Henderson and situated at 143 E. Commerce St. along the San Antonio River Walk. The 63-unit building will offer luxury apartments in an area long dominated by hotels and office buildings. The apartments will be modern and asymmetrical, with floors positioned in three tiers and minimalist unit designs. An automated parking system will be built-in as well.