Billionaire Elon Musk’s SpaceX faces lawsuits and criticism for its environmental impact on the Rio Grande Valley. Credit: Shutterstock / Frederic Legrand – COMEO

The San Antonio metro area’s housing market is in disarray and likely to get worse as Elon Musk and his Department of Government Efficiency continue slashing federal jobs, according to a monthly report from Realtor.com.

San Antonio-area homes remain on the market for a median 76 days — the second-longest amount of time for any major U.S. metro, behind Jacksonville, Florida, the report states.

Also concerning, 24.7% of all Alamo City homes for sale are listed with reduced asking prices. That means our market has the nation’s fourth-highest percentage of price cuts, only trailing Jacksonville, Phoenix and Tampa.

And it’s poised to get worse thanks to DOGE.

Some 3% of the San Antonio area’s workforce is employed by the federal government. Indeed, that’s the sixth-highest percentage in the nation, according to the report.

Realtor.com warns that cities with large federal workforces are likely to see further slowdowns in their local real estate markets as Musk, a billionaire Trump donor who’s been given virtually free rein to cut government jobs, continues to fire workers.

“The health of a local housing market is often tied to the health of the local labor market,” the report said. “Federal workforce reductions could have ripple effects on housing markets with a high concentration of government employees, and the degree of the impact is likely to depend on the health of the private sector in these markets and its ability to provide new opportunities.”

Although the federal layoffs’ effects show “no clear connection yet” to local housing market slowdowns, the report notes that “does not rule out future effects.”

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This article appears in Feb 19-25, 2025.

Michael Karlis is a multimedia journalist at the San Antonio Current, whose coverage in print and on social media focuses on local and state politics. He is a graduate of American University in Washington,...