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Relocating To Austin The Smart Way

  • Kasey Jorgenson
  • July 23, 2026

Mike Kelly is an agent with Jorgenson Real Estate who moved to Austin from Grand Rapids, Michigan, knowing just one college friend in town. Today he works with many relocating and first-time buyers, and new construction is a big part of his business. In this episode of Real Estate, Straight Up, he and Kasey Jorgenson talk about how to relocate the smart way: pick a neighborhood by the life you want to live, check the headlines before you believe them, and use today's balanced market to your advantage.

Key takeaways

  • In greater Austin, moving a mile can change your daily life, so list your hobbies and routines before you choose where to live.
  • The viral claim that the median first-time buyer is 40 came from a mailed paper survey. Mortgage-based data that Kasey and Mike cited puts the age closer to 33, up from 32 in 2016.
  • Kasey said first-time buyers make up only about 21% of purchases right now, but the balanced market gives them more choices and more room to negotiate.
  • A balanced market is not a dead market. When a good home comes on, Mike would rather show it tonight than on Friday.
  • A good buyer's agent checks for costly red flags, like the foundation, an old furnace or missing shingles, before you pay for option money and an inspection.
  • Builders are offering strong incentives. At the time of recording in July 2026, Mike had seen a builder offer 2.99% while average rates were around 6.1%.
  • On a new build, get a second inspection around month 10 or 11 so the builder fixes problems before the one-year warranty ends.

How do I choose a neighborhood when I'm relocating to Austin?

Mike moved almost on impulse, tired of Michigan's gray weather. On a January visit it was about 40 degrees and people were still running and playing sports at Zilker. He didn't know the areas, toured apartments in Riverside, South Austin and Zilker, and is glad he picked Zilker.

His advice is to start with how you spend your time. Do you like coffee shops, parks or being close to a trail? If you're a runner, trail access matters a lot here. Kasey agreed that small distances matter: "A mile down the road can be a completely different living experience." He added that Round Rock is only 20 to 30 minutes from South Austin without traffic, yet people on each side often don't know the other well. Mike also researches what's being built nearby and how an area may appreciate over the next 10 years. Our relocation guide and city and neighborhood guides are a good first step.

On making friends, Mike said so many people here are transplants that most are open to it. "If you have any hobbies, just go to those things that you already like to do, and then you will just meet like-minded people," he said. For him, that's volleyball and running.

Is the median first-time home buyer really 40 years old?

Kasey and Mike don't think so. The headline came from a national industry survey that, as they described it, was mailed to about 190,000 people, had about 120 questions, and was returned by roughly 6,000. "What sub 30-year-old is filling out a survey for fun, right?" Kasey asked. Sources that look at actual loan applications and credit reports, which they named as the New York Fed, Cotality and the FHFA, put the median first-time buyer closer to 33. Ten years earlier it was 32.

Affordability is still harder than it was. Mike has many buyers using gifted funds from family. Kasey noted that some parents and grandparents are working with financial advisors to help family buy, which can also pass on wealth without large tax consequences. If you're just starting, our first-time buyer seminar walks through the basics.

Is now a good time for a first-time buyer in Austin?

Mike came from a hot seller's market in Michigan, where his buyers could lose out five or ten times and give up. Here, he said, "there's a lot more room to negotiate and get better terms for first-time homebuyers." Kasey recalled that from 2020 through early 2022, JRE listings were getting 50 to 60 offers. The market has corrected since then and is now stable and balanced, which is healthier for buyers.

Speed still matters, though. "We're a balanced market, we're not a dead market," Kasey said. If a client wants to see a new listing, Mike would rather go that evening than wait days, because he has seen buyers lose a home to another offer. See our guide to buying a home in Central Texas for how the process works here.

What should a buyer's agent look for at a showing?

Mike admits he isn't the agent who gets excited about design. "What I'm passionate about is seeing the red flags, anything that could come up that could cost my buyers $10,000 in the next five years," he said. While clients walk the house, he checks things like the foundation and the age of the furnace in the attic. Kasey recalled a client review, and a video, of Mike up in an attic in July, with temperatures around 109 in the shade, checking the equipment for his clients.

Under contract, buyers typically pay option money of a couple hundred dollars plus an inspection of several hundred more, so spotting missing shingles or a tired HVAC system early saves real money.

Should I buy new construction in Austin right now?

For many buyers it's worth a look. Mike said builders are offering "killer deals" right now, including one he saw at a 2.99% interest rate, and he often brings up new construction even with buyers who started out looking at resales. It isn't for everyone, since many newer neighborhoods look alike and lack mature trees. But the process is usually cleaner and less emotional than negotiating with an individual seller.

You should still inspect. Mike said you can walk the home with your inspector, and better builders will address the items on the report. Kasey said the norm is a one-year "bumper to bumper" warranty, with other coverage that varies by builder, and some items, like failed window seals, go through the manufacturer after year one. Mike's key tip: "I always recommend like month 11 that they get an inspection again because they'll come and fix everything." Kasey explained why. A Texas house needs to go through the hottest summer and coldest winter to settle, and that's when issues show up. Mike said a basic inspection runs around $350. Read more in our guide to buying new construction in Central Texas.

If you're planning a move to the Austin area, talk with Mike Kelly or any Jorgenson Real Estate agent about neighborhoods, new builds and what your budget can do. More episodes are on the Real Estate, Straight Up podcast page.

Questions from this episode

Is the median age of a first-time home buyer really 40?

Kasey Jorgenson and Mike Kelly are skeptical. The 40 figure came from a mailed survey with a low response rate. Mortgage and credit data they cited put the median first-time buyer closer to 33, compared with 32 in 2016.

When should I get a second inspection on a new construction home?

Around month 10 or 11, before the builder's one-year warranty ends. By then the house has been through a Texas summer and winter. Mike said a basic inspection runs around $350.

How do I pick a neighborhood if I'm moving to Austin?

Start with your routines: trails, parks, coffee shops, commute and how you spend weekends.

Do first-time buyers have leverage in the Austin market now?

Yes. Mike Kelly said the balanced market gives buyers more choices and more room to negotiate, and builders are offering strong incentives.

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