News
Lease Property Update
The rental market experienced double-digit gains in May. Leases of single-family homes jumped 11.1 percent compared to a year earlier while leases of townhomes and condominiums surged 19.3 percent. The average rent for a single-family home rose 1.6 percent to $1,874 while the average rent for townhomes and condominiums increased 5.6 percent to $1,666.
The prices of a single-family home reached historic highs in May. The median price (the figure at which half of the homes sold for more and half sold for less) rose 2.4 percent to $249,993 and the average price climbed 5.8 percent to $323,023. The last pricing highs were reached almost a year ago, in June 2018.
May sales of all property types totaled 9,948, up 3.1 percent compared to the same month last year. Total dollar volume for the month jumped 7.8 percent to slightly more than $3 billion.
“We are seeing signs of a healthy and sustainable housing market throughout greater Houston, and that is due to a more plentiful supply of homes, continued low interest rates and a strong local economy,” said HAR Chair Shannon Cobb Evans with Heritage Texas Properties. “In addition to solid home sales, consumers are still snapping up rental properties, and that is also driving the local housing market.”
HOUSTON — (June 12, 2019) — Encouraged by continued low interest rates and a growing selection of housing options, home buyers kept the greater Houston real estate market in positive territory for a fourth straight month in May. As it did in April, the luxury segment (homes priced at $750,000 and above) led the way in sales volume, and rental properties moved briskly. Housing inventory grew to its largest level since August 2017, meeting consumer demand as the market prepares to segue into summer.
Sales of single-family homes increased 2.8 percent in May, according to the latest monthly report from the Houston Association of Realtors® (HAR), with 8,346 homes sold compared to 8,117 in May 2018. On a year-to-date basis, home sales are running 2.7 percent ahead of 2018’s record pace.
Houston Real Estate Highlights in April
Single-family home sales rose 7.8 percent year-over-year, with 7,586 units sold, marking the third consecutive month of positive sales and the biggest volume increase of 2019;
On a year-to-date basis, single-family home sales are 2.2 percent ahead of 2018’s record pace;
Days on Market (DOM) for single-family homes edged up from 56 to 57 days;
Total property sales increased 7.8 percent, with 9,063 units sold;
Total dollar volume jumped 9.6 percent to about $2.7 billion;
The single-family home median price rose 2.1 percent to $245,000, achieving an April high;
The single-family home average price was up 1.9 percent to an April high of $310,676 – the second highest average of all time;
Single-family homes months of inventory reached a 4.0-months supply, up from 3.5 months last April and the most plentiful level since September 2018. For comparison, the national inventory is at a 3.9-months supply, according to NAR;
Townhome/condominium sales ended seven months of declines with a flat sales volume of 595 units, the average price down 8.4 percent to $203,751 and the median price down 9.0 percent to $163,000;
Single-family home rentals surged 12.7 percent with the average rent up less than one percent to at $1,795;
Volume of townhome/condominium leases declined 4.4 percent with the average rent up less than one percent to $1,586.
Townhouse/Condominium Update
Townhouse and condominium sales were flat in April, finally bringing to an end seven consecutive months of declines. A total of 595 townhouses and condominiums sold, matching last April’s volume. The average price fell 8.4 percent to $203,751 while the median price dropped 9.0 percent to $163,000. Inventory grew from a 3.9-months supply to 4.5 months.
Broken out by housing segment, April sales performed as follows:
$1 - $99,999: decreased 17.0 percent
$100,000 - $149,999: decreased 14.6 percent
$150,000 - $249,999: increased 12.5 percent
$250,000 - $499,999: increased 9.4 percent
$500,000 - $749,999: increased 6.9 percent
$750,000 and above: increased 14.2 percent
HAR also monitors sales activity among existing single-family homes. Existing home sales totaled 6,138 in April, up 7.3 percent versus the same month last year. The average sales price edged up 1.1 percent to $300,195 while the median sales price rose a fractional 0.7 percent to $230,000.
Days on Market (DOM), or the number of days it took the average home to sell, edged up from 56 to 57 days. Inventory grew to a 4.0-months supply. That is up from 3.5 months a year earlier and represents the greatest supply of homes in seven months. It is also slightly above the national inventory of 3.9 months reported by NAR.
Single-Family Homes Update
Single-family home sales rose 7.8 percent in March, with 7,586 units sold throughout the greater Houston area versus 7,035 a year earlier. That marks the third consecutive month of positive sales activity and the biggest volume gain of 2019.
Prices reached the highest levels ever for an April. The median price increased 2.1 percent to $245,000. The average price rose 1.9 percent to $310,676 – the second highest average of all time (the highest was $315,492 in June 2018).
April Monthly Market Comparison
The measurements were all in positive territory for the Houston real estate market in April. Single-family home sales, total property sales, total dollar volume and pricing were all up compared to April 2018. Month-end pending sales of single-family homes totaled 9,467, a 17.8 percent increase over last year. Total active listings, or the total number of available properties, jumped 13.8 percent to 42,086.
Single-family homes inventory expanded to a 4.0-months supply in April. That is up from 3.5 months a year earlier and marks the greatest supply of homes since September 2018. For perspective, housing inventory across the U.S. is currently at a 3.9-months supply, according to the latest report from the National Association of Realtors (NAR).
Lease Property Update
April saw continued demand for single-family rentals, which jumped 12.7 percent compared to a year earlier. However, interest in townhome/condominium rentals waned, declining 4.4 percent. The average rent for a single-family home edged up less than one percent to $1,795 while the average rent for townhomes and condominiums also increased less than one percent to $1,586.
