Pre-pandemic inventory levels and a significant turnaround in April sales are bringing the Greater Houston residential market into bloom.
The previous two months fluctuated. What looked like a resi revival in February was snuffed out by sluggish single-family sales in March, which went out with a $200 million dip in total dollar volume year-over-year, along with a 7.5 percent drop in home sales.
However, the market is bouncing back in a strong way, according to the Houston Association of Realtors.
“The spring homebuying season seems to be blossoming later than usual this year,” said HAR Chair Thomas Mouton. “While elevated interest rates continue to be a factor, the rebound in April home sales shows buyers are adapting to the new market realities, and sellers are finding opportunities as inventory levels rise.”
Single-family home sales increased by nearly 10 percent year-over-year, with 7,930, an uptick from 7,260 in April last year. Single-family pending sales also showed promise, rising by 10 percent, signaling continued momentum in the coming months.
Perhaps most strikingly, the inventory of single-family homes expanded to pre-pandemic levels, with months of inventory reaching 3.7, the highest since October 2019, offering a wealth of options for prospective buyers. Nationally, the housing inventory stands at a 3.2-month supply, according to the National Association of Realtors, indicating a balanced market where neither buyers or sellers hold a distinct advantage.
Nowhere was this rebound more prominent than the million-dollar home market. While all segments of the housing market experienced a boost in sales activity, luxury home sales saw the largest growth, exploding with a 34 percent increase, showing a robust interest from high-end buyers in Greater Houston coming into the summer.
The average price of a single-family home throughout Greater Houston rose by over four percent to $437,200, marking the second-highest average in history, closely trailing May 2022 record-setting average home price of $438,350. Total property sales, which also includes commercial real estate, saw an uptick of nearly 9 percent, translating to a total dollar volume increase of about 14 percent, surpassing $4 billion, up from $3.5 billion year-over-year.
Read more
Houston home sales down, prices tick upward
Houston rental market blooms as home buying lags
Houston luxury market leads resi revival
Credit: Source link