Does it make sense to buy a primary residence in Austin?

[Jim Piety]

I currently live in Austin but really want to turn my current property into a rental and move into my next primary residency. The challenge is that I am hearing homes are selling for $50-100k over asking. Considering how it was already near impossible to cashflow in Austin prior to this recent (and relative) boom, I fail to see how buying a home in Austin is wise. I don't love the idea of buying purely on speculative appreciation and, to me, it would make better sense to live where I am now (or rent it out and move into an apt) and invest my cash into secondary markets with strong appreciation but less "intensity" compared to Austin. 

What am I missing? Where in central Texas are you investing? Austin or other projects without the massive premium?