Greater Houston Housing Market Update

It’s been a successful summer in Houston where real estate is concerned, with the housing market continuing its upward trajectory in all measurement categories. It’s nowhere near the record-breaking number of June 2014, but if slow and steady wins the race, then Houston is doing it right.

Compared to market performance in August 2013, there has been a slight growth in the same period this year, which saw a 1.7% increase in total sales. 7,505 single-family homes in Houston were sold, showing a 1.1% increase in single-family home sales. August also saw an increase in the single-family median sales price, clocking in at $206,000, compared to last year’s $186,510, showing a 10.4% growth.The average home price for single-family homes also jumped to $275,369, which is a 6.4% increase from last year’s average sales price.With the continued growth in sales, August 2014 also saw a decreased number of active listings and pending sales.

A Growing Economy

This continuously strong housing market performance can be attributed to the sustained expansion of Houston’s economy (and the generation of more employment opportunities that comes with it). After almost 6 years of steady growth in employment, builders are scrambling to find reasonably priced homes in attractive locations to accommodate the influx of workers and professionals.

As more and more people flock to Houston for work, the demand for housing is on the rise. If this demand continues to be met by Houston’s housing market in the future then it’s safe to say that we can expect relatively strong market performance for the long run. The balance might be upset if new listings won’t hit the market, but thankfully, that hasn’t happened yet. Inventory levels have been stable over the past month and there’s enough to accommodate more prospective homebuyers. We’re likely to see a few bumps further down the road, but if things go well enough, Houston will continue to outperform.