11 Reasons Why Your Home Isn’t Selling

December 18, 2017 by · Leave a Comment
Filed under: Real Estate 

By Charles Muotoh

When you first put your house on the market, you might be hopeful for a quick sale, especially if you’ve put a lot of money into improving the house over the years and if the neighborhood is one that has historically attracted a lot of buyers. While you shouldn’t panic if the house doesn’t sell the moment you list it, you should begin to worry if the months start flying by without any real offers. If this is the case, here are 11 reasons why your house may not be selling.

  1. You overvalued your property. If your house is overpriced, it’s simply not going to sell. Compare your property to similar properties that recently sold within your area to get a better idea of its true value. An experienced real estate agent can give you an accurate value of your home. Additionally, don’t make the mistake of tacking on the cost of any renovations you made. You can’t just assume that the cost of a renovation translates to added value.
  2. Your listing is poor. If the listing of your home includes a poorly written description without any images, a lot of buyers are going to skip over it. Make sure you and your REALTOR® put an effort into creating a listing that attracts the attention of buyers. Make sure to add high quality photographs of both the interior and exterior of your home. Don’t forget to highlight unique features as well.
  3. You’re always present at showings. Let your agent handle your showings. Buyers don’t want to have the seller lurking over their shoulder during showings, especially during an open house. This puts unwanted pressure on the buyer, which will make them uncomfortable and likely chase them away.
  4. You’re too attached. If you refuse to negotiate even a penny off your price, then there’s a good chance that you’ve become too attached to your home. If a part of you doesn’t want to sell it, or you think your house is the best house in the world, odds are you’re going to have a lot of difficulties coming to an agreement with a potential buyer.
  5. You haven’t had your home professionally cleaned. A dirty house is going to leave a bad impression on buyers. Make sure you have a professional clean your carpeting and windows before you begin showing your house.
  6. You haven’t staged your home. If you’ve already moved out, then don’t show an empty house. This makes it difficult for buyers to imagine living in it. Stage your house with furniture and decor to give buyers a better idea of how big every room is and how it can be used. You want the buyer to feel at home when they are taking the tour.
  7. You kept up all of your personal décor. Buyers are going to feel uncomfortable touring your house if you keep all of your family portraits up. Take down your personal décor so that buyers can have an easier time imagining themselves living there.
  8. Your home improvements are too personalized. You might think that the comic book mural you painted for your child’s room is absolutely incredible, but that doesn’t mean potential buyers will agree. If your home improvements are too personalized, it can scare off buyers who don’t want to pay for features they don’t want.
  9. Your home is too cluttered. Even if your home is clean, clutter can still be an issue. For example, maybe you simply have too much furniture in one of your rooms. This can make the house feel smaller than it is.
  10. Your home is in need of too many repairs. The more repairs that are needed, the less likely a buyer will want your house. Many buyers simply don’t want to deal with the cost or effort of doing repair work, even if it’s just a bunch of small repairs, such as tightening a handrail or replacing a broken tile.
  11. You chose the wrong real agent. In my opinion, choosing the right real estate agent is simply the most important decision you make in selling your home. A good REALTOR® makes all the difference in selling your home within a reasonable time.

All these things can be fixed once you realize your mistake; however, the longer your property stays on the market, the less likely it will sell at listing price. One of the best ways to avoid making these common mistakes is by working with a professional real estate agent.

Charles Muotoh is the owner of dcrealestateguru.com, a full service real estate firm focused on leveraging digital marketing strategies to serve buyers and sellers of real estate in the Washington D.C. area.

HOUSING MARKET PROVES IT IS ‘HOUSTON STRONG’ AFTER HARVEY

October 26, 2017 by · Leave a Comment
Filed under: Real Estate 
Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS®
MLS Report for September 2017

A month after the devastating storm, September sees home sales rebound and rentals surge

HOUSTON — (October 11, 2017) Battered by Hurricane Harvey during the final week of August, the Houston real estate market demonstrated its ‘Houston Strong’ resiliency during the four weeks that followed with a rebound in home sales and the strongest rental activity of all time.

According to the latest monthly report produced by the Houston Association of Realtors (HAR), single-family home sales climbed 4.2 percent compared to last September, coming back from a nearly 24 percent plunge in August. All segments of the housing market enjoyed gains except for homes priced below $150,000, with the greatest sales volume reported among homes in the $500,000 to $750,000 range. On a year-to-date basis, home sales remain 2.3 percent ahead of the 2016 volume despite Harvey’s rampage.

As expected, property flooding and continued consumer demand for homes lowered inventory levels. While housing inventory grew from a 3.9-months supply to 4.1 months year-over-year, it was down compared to the 4.4-months supply immediately preceding Harvey’s arrival.

Lease Property Update

Driven primarily by consumers displaced from housing as a result of Hurricane Harvey’s widespread destruction, demand for lease properties across Houston soared to record levels in September. Single-family home leases rose a staggering 83.6 percent while townhome/condominium skyrocketed 92.2 percent. The average rent for single-family homes was up 7.9 percent to $1,886 while the average rent for townhomes/condominiums climbed 5.4 percent to $1,601.

Market Observations and Pricing

“I don’t think anyone expected to see home sales in positive territory this soon after a natural disaster of Harvey’s magnitude, but the September report speaks volumes about the incredible resiliency of the Houston real estate market,” said HAR Chair Cindy Hamann. “We are still mindful of the terrible property losses suffered across the region and continue to urge anyone who may have housing available for those in need (for up to 12 weeks of occupancy) to please post it on our Harvey Temporary Housing page at www.har.com/temporaryhousing“.

Pricing never skipped a beat during or after Harvey. The single-family home median price (the figure at which half of the homes sold for more and half sold for less) rose 5.5 percent to $232,000. The average price increased 5.4 percent to $291,767. Both figures are record highs for a September.

September sales of all property types in Houston totaled 8,150, an increase of 3.4 percent versus the same month last year. Total dollar volume for properties sold jumped 10.2 percent to $2.3 billion.

September Monthly Market Comparison

With surprising but welcome improvement from the Harvey-influenced August report, Houston’s September housing market indicators provided positive readings across the board as single-family home sales, total property sales, median and average pricing, total dollar volume and inventory were all up compared to September 2016.

Month-end pending sales for single-family homes totaled 6,606, an increase of 13.1 percent over last year. Total active listings, or the total number of available properties in the marketplace, rose 7.4 percent from September 2016 to 40,848.

Single-family homes inventory edged up from a 3.9-months supply to 4.1 months year-over-year. However, that is down from the 4.4-months supply that prevailed before Harvey struck, as consumers scrambled for available housing. Housing inventory across the U.S. currently stands at a 4.2-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES SEPTEMBER 2016 SEPTEMBER 2017 CHANGE
Total property sales 7,885 8,150 3.4%
Total dollar volume $2,070,923,189 $2,281,343,090 10.2%
Total active listings 38,045 40,848 7.4%
Single-family home sales 6,636 6,913 4.2%
Single-family average sales price $276,700 $291,767 5.4%
Single-family median sales price $219,900 $232,000 5.5%
Single-family months inventory* 3.9 4.1 0.2 mos.
Single-family pending sales 5,839 6,606 13.1%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.

Single-Family Homes Update
Single Family

Single-family home sales staged an impressive post-Hurricane Harvey rebound, rising 4.2 percent to a total of 6,913 units sold versus 6,636 in September 2016. That follows a devastating decline of 23.8 percent in August that interrupted 10 consecutive months of positive sales. All housing segments experienced gains except for homes priced below $150,000.

Home prices continued their upward march in September. The median price increased 5.5 percent to $232,000 while the average price rose 5.4 percent to $291,767. Both figures are record highs for a September in Houston.

Days on Market (DOM), or the number of days it took the average home to sell, edged up from 53 to 54 days. Inventory rose year-over-year from a 3.9-months supply to 4.1 months, but that is below the healthier 4.4-months supply that existed during the two months leading up to Harvey.

Broken out by housing segment, September sales performed as follows:

  • $1 – $99,999: decreased 20.7 percent
  • $100,000 – $149,999: decreased 23.2 percent
  • $150,000 – $249,999: increased 6.0 percent
  • $250,000 – $499,999: increased 14.8 percent
  • $500,000 – $749,999: increased 20.4 percent
  • $750,000 and above: increased 4.2 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 5,783 in September, up 3.8 percent versus the same month last year. The average sales price increased 8.1 percent to $282,528 while the median sales price rose 6.8 percent to $219,000.

Townhouse/Condominium Update

The townhome and condominium market was slower to recover from the effects of Hurricane Harvey as sales fell 5.8 percent in September with a total of 533 units sold. This follows August’s nearly 30 percent sales decline. The average price rose 3.5 percent to $208,215 while the median price jumped 8.4 percent to $159,950. Inventory expanded from a 3.7-months supply to 4.1 months.

Townhouse/Condominium Sales
Houston Real Estate Highlights in September
  • Single-family home sales staged an impressive post-Hurricane Harvey rebound, rising 4.2 percent year-over-year with 6,913 units sold;
  • On a year-to-date basis, single-family home sales remain 2.3 percent ahead of the 2016 volume, despite Harvey’s effect on Houston housing;
  • Total property sales rose 3.4 percent with 8,150 units sold;
  • Total dollar volume jumped 10.2 percent to $2.3 billion;
  • At $232,000, the single-family home median price rose 5.5 percent, achieving a September high;
  • The single-family home average price increased 5.4 percent to $291,767, also a record high for a September;
  • Single-family homes months of inventory rose year-over-year from a 3.9-months supply to 4.1 months, but that is below the healthier 4.4-months supply that prevailed during the two months leading up to Harvey;
  • Townhome/condominium sales fell 5.8 percent, with the average price up 3.5 percent to $208,215 and the median price up 8.4 percent to $159,950;
  • Leases of single-family homes shot up an unprecedented 83.6 percent with average rent up 7.9 percent to $1,886;
  • Volume of townhome/condominium leases surged 92.2 percent with average rent up 5.4 percent to $1,601.
  • HAR continues to encourage anyone who has housing available for temporary occupancy (up to 12 weeks) to please post it on our Harvey Temporary Housing page as soon as possible at www.har.com/temporaryhousing to provide housing to those in need.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com.
The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants. The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)
Founded in 1918, the Houston Association of REALTORS® (HAR) is a 36,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

HURRICANE HARVEY HAMMERS HOUSTON HOUSING

September 21, 2017 by · Leave a Comment
Filed under: Real Estate 

Historic storm slams the door on home sales during the last week of August

HOUSTON — (September 13, 2017) Hurricane-turned-Tropical Storm Harvey’s torrential rains and devastating floodwaters not only disrupted life and destroyed properties throughout the Houston area and Texas Gulf coast. It also dealt a heavy blow to a real estate market that, until now, was on track to set new records. However, the full effects of the historic storm may not be realized for weeks to come as the market rebuilds and recovers.

According to the latest monthly report prepared by the Houston Association of Realtors (HAR), single-family home sales plunged 25.4 percent, marking the first decline in almost a year. All segments of the housing market felt the strain. Nonetheless, on a year-to-date basis, home sales remain 1.8 percent ahead of the 2016 volume. Housing inventory grew from a 4.0-months supply to 4.4 months, but is expected to shrink as undamaged and repaired homes continue to be snapped up by those in need of housing.

“Hurricane Harvey dealt a severe blow to the Houston area and Texas Gulf coast and it will probably be several weeks until we can gauge the storm’s full impact on our housing market,” said HAR Chair Cindy Hamann. “Home sales were humming throughout the first three weeks of August, but the moment Harvey struck the region, everything came to a screeching halt.” Hamann added: “HAR continues to encourage anyone who has housing available for temporary occupancy (up to 12 weeks) to please post it on our Harvey Temporary Housing page as soon as possible at www.har.com/temporaryhousing to provide housing to those in need.”

Pricing seemed unaffected by Harvey. The single-family home median price (the figure at which half of the homes sold for more and half sold for less) rose 3.0 percent to $231,700. The average price increased 2.6 percent to $296,418.

August sales of all property types in Houston totaled 7,077, a decline of 24.2 percent versus the same month last year. Total dollar volume for properties sold in August dropped 22.2 percent to $2.0 billion.

August Monthly Market Comparison

Houston’s monthly housing market indicators yielded mixed readings in August thanks to Harvey, with single-family home sales, total property sales and total dollar volume down sharply compared to August 2016, while median and average price and inventory all increased.

Month-end pending sales for single-family homes totaled 6,295, down 4.7 percent compared to last year. Total active listings, or the total number of available properties, increased 12.4 percent from August 2016 to 42,822.

Single-family homes inventory grew from a 4.0-months supply to 4.4 months, but is expected to decline as demand for undamaged and repaired homes outpaces supply. For perspective, housing inventory across the U.S. currently stands at a 4.2-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES AUGUST 2016 AUGUST 2017 CHANGE
Total property sales 9,335 7,077 -24.2%
Total dollar volume $2,562,458,783 $1,993,970,105 -22.2%
Total active listings 38,086 42,822 12.4%
Single-family home sales 7,927 5,917 -25.4%
Single-family average sales price $288,920 $296,418 2.6%
Single-family median sales price $225,000 $231,700 3.0%
Single-family months inventory* 4.0 4.4 0.4 mos.
Single-family pending sales 6,680 6,295 -4.7%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.

Single-Family Homes Update
Single Family

Single-family home sales, which had been on track for a record-setting year with 10 consecutive months of gains before Harvey struck, totaled 5,917. That is down 25.4 percent from August 2016 when sales volume was 7,927. All housing segments experienced declines.

Pricing appeared largely unaffected as a result of Harvey. The median price increased 3.0 percent to $231,700. The average price rose 2.6 percent to $296,418.

Days on Market (DOM), or the number of days it took the average home to sell, was unchanged at 50. Inventory rose from a 4.0-months supply to 4.4 months, but is expected to shrink as Harvey flooding victims snap up available housing inventory.

Broken out by housing segment, August delivered across-the-board sales declines as follows:

  • $1 – $99,999: decreased 40.0 percent
  • $100,000 – $149,999: decreased 40.0 percent
  • $150,000 – $249,999: decreased 21.7 percent
  • $250,000 – $499,999: decreased 20.6 percent
  • $500,000 – $749,999: decreased 31.9 percent
  • $750,000 and above: decreased 17.2 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 5,129 in August, down 23.8 percent versus the same month last year. The average sales price increased 4.2 percent to $283,066 while the median sales price rose 4.8 percent to $220,000.

Townhouse/Condominium Update

Hurricane Harvey took a toll on the townhome and condominium market as well, as sales fell 31.4 percent in August with a total of 443 units sold. The average price declined 1.1 percent to $196,230 while the median price edged up 2.0 percent to $159,000. Inventory expanded from a 3.7-months supply to 4.6 months.

Townhouse/Condominium Sales
Lease Property Update

Consumer demand for lease properties across Houston remained strong in August. Single-family home leases jumped 9.4 percent while townhome/condominium leases shot up 17.0 percent. The average rent for single-family homes was unchanged at $1,857 while the average rent for townhomes/condominiums declined 2.2 percent to $1,551.

Houston Real Estate Highlights in August
  • Hurricane Harvey ended ten consecutive months of positive single-family home sales, as volume plunged 25.4 percent year-over-year with 5,917 units sold;
  • Despite Harvey’s rampage, single-family home sales remain 1.8 percent ahead of the 2016 volume on a year-to-date basis;
  • Total property sales dropped 24.2 percent with 7,077 units sold;
  • Total dollar volume fell 22.2 percent to $2.0 billion;
  • The single-family home median price rose 3.0 percent to $231,700;
  • The single-family home average price increased 2.6 percent to $296,418;
  • Single-family homes months of inventory grew to a 4.4-months supply, but is expected to shrink with strong consumer demand for housing in the wake of Harvey;
  • Townhome/condominium sales dropped 31.4 percent, with the average price down 1.1 percent to $196,230 and the median price up 2.0 percent to $159,000;
  • Leases of single-family homes rose 9.4 percent with average rent unchanged at $1,857;
  • Volume of townhome/condominium leases jumped 17.0 percent with average rent down 2.2 percent to $1,551;
  • HAR continues to encourage anyone who has housing available for temporary occupancy (up to 12 weeks) to please post it on our Harvey Temporary Housing page as soon as possible at www.har.com/temporaryhousing to provide housing to those in need.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com. The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.

The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)

Founded in 1918, the Houston Association of REALTORS® (HAR) is a 36,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

HOUSTON HOME PRICES AND SALES VOLUME SET RECORDS IN JUNE

July 27, 2017 by · Leave a Comment
Filed under: Real Estate 
Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS®
MLS Report for June 2017

Housing inventory reaches highest level in nearly five years

HOUSTON — (July 12, 2017) Temperatures weren’t the only thing soaring in June, as home prices and sales volume reached new heights, keeping 2017 on track to be a record year for Houston real estate. The greatest sales gains took place among homes priced from $750,000 and above (categorized as the luxury market), followed by homes in the $150,000 to $249,999 range. June was the eighth straight month that the luxury segment enjoyed rising sales.

A total of 8,414 single-family homes sold in June compared to 7,771 a year earlier, according to the latest monthly report produced by the Houston Association of Realtors (HAR). That represents an 8.3 percent increase and marks the largest one-month sales volume in history. On a year-to-date basis, home sales remain ahead of 2016’s volume by 7.4 percent. New listings pushed inventory levels from a 3.9-months supply to 4.4 months, the highest in almost five years.

“June proved to be another phenomenal month for the Houston real estate market with buyers and renters sending volume and pricing into record territory,” said HAR Chair Cindy Hamann. “Between continued strong employment numbers and healthy housing inventory levels, we expect the market to remain vibrant.”

The single-family home median price (the figure at which half of the homes sold for more and half sold for less) climbed 2.6 percent to $239,023. The average price edged up 1.5 percent to $304,155. Both figures are all-time highs.

June sales of all property types in Houston totaled 9,993, up 8.3 percent from the same month last year. Total dollar volume for properties sold in June rose 10.4 percent to $2.9 billion.

June Monthly Market Comparison

The Houston real estate market saw across-the-board gains during the month of June, with single-family home sales, total property sales, total dollar volume, inventory and pricing all up compared to June 2016.

Month-end pending sales for single-family homes totaled 8,363, up 18.9 percent compared to last year. Total active listings, or the total number of available properties, jumped 16.4 percent from June 2016 to 43,326.

Single-family homes inventory grew from a 3.9-months supply to 4.4 months. For perspective, housing inventory across the U.S. currently stands at a 4.2-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES JUNE 2016 JUNE 2017 CHANGE
Total property sales 9,225 9.993 8.3%
Total dollar volume $2,615,214,802 $2,887,390,370 10.4%
Total active listings 37,230 43,326 16.4%
Single-family home sales 7,771 8,414 8.3%
Single-family average sales price $299,761 $304,155 1.5%
Single-family median sales price $233,000 $239,023 2.6%
Single-family months inventory* 3.9 4.4 0.5 mos.
Single-family pending sales 7,034 8,363 18.9%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.

Single-Family Homes Update
Single Family

Single-family home sales totaled 8,414, the greatest one-month volume of all time. That is up 8.3 percent from June 2016, when sales volume was 7,771. The median price rose 2.6 percent to an all-time record high of $239,023. The average price increased 1.5 percent to $304,155, also an historic high.

Days on Market (DOM), or the number of days it took the average home to sell, fell slightly to 50 days versus 53 last year. Inventory rose from a 3.9-months supply to 4.4 months, matching a level last seen in October 2012.

Broken out by housing segment, May sales performed as follows:

  • $1 – $99,999: decreased 12.1 percent
  • $100,000 – $149,999: decreased 10.7 percent
  • $150,000 – $249,999: increased 12.2 percent
  • $250,000 – $499,999: increased 11.5 percent
  • $500,000 – $749,999: increased 6.9 percent
  • $750,000 and above: increased 13.0 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 7,215 in June, up 9.1 percent versus the same month last year. The average sales price increased 3.4 percent to $294,251 while the median sales price rose 3.2 percent to $225,000.

Townhouse/Condominium Update

Townhome and condominium sales increased again in June, edging up 1.2 percent with a total of 678 units sold. The average price rose 7.6 percent to $215,713, while the median price climbed 3.6 percent to $171,000. Inventory grew from a 3.5-months supply to 4.3 months.

Townhouse/Condominium Sales
Lease Property Update

Houston’s lease market surged further in June, with consumer demand persisting among both single-family and townhome/condominium properties. Single-family home leases jumped 17.4 percent while townhome/condominium leases soared 21.3 percent. The average rent for single-family homes declined 4.0 percent to $1,806, while the average rent for townhomes/condominiums rose 2.5 percent to $1,698.

Houston Real Estate Highlights in June
  • Single-family home sales rose 8.3 percent year-over-year with 8,414 units sold – the largest one-month sales volume of all time;
  • Total property sales increased 8.3 percent with 9,993 units sold;
  • Total dollar volume jumped 10.4 percent to $2.9 billion;
  • The single-family home median price rose 2.6 percent to a record high of $239,023;
  • The single-family home average price increased 1.5 percent to $304,155, which was also a record high;
  • Single-family homes months of inventory grew to a 4.4-months supply, the highest level since October 2012;
  • Townhome/condominium sales edged up 1.2 percent, with the average price up 7.6 percent to $215,713 and the median price up 3.6 percent to $171,000;
  • Leases of single-family homes jumped 17.4 percent with average rent down 4.0 percent to $1,806;
  • Volume of townhome/condominium leases rocketed 21.3 percent with average rent up 2.5 percent to $1,698.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com. The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.

The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)

Founded in 1918, the Houston Association of REALTORS® (HAR) is a 36,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

An accepted contract is just the beginning

March 22, 2017 by · Leave a Comment
Filed under: Real Estate 

As a homebuyer or seller, an accepted contract is exciting. But hang on … the deal’s not done.

Thankfully, if you’re working with a REALTOR®, he or she can guide you through all the potential twists and turns on the way to closing.

An option to back out

For starters, most purchase contracts include a termination option. The buyer pays the seller a fee for a specified period of time during which the buyer can cancel the contract. The buyer can exercise this option for any reason. In fact, he doesn’t even have to explain why.

A closer look at the property

Buyers usually hire inspectors during the termination-option period. Inspections that reveal items in need of repair may prompt a buyer to ask for a price reduction or repairs prior to closing. Or the buyer may simply choose to cancel the deal.

Financing considerations

Transactions sometimes unravel when a buyer cannot obtain the financing specified in the contract or the property does not meet the lender’s requirements. For example, appraisals can come in lower than the purchase price, or there may be issues with obtaining insurance for the home.

The list goes on

Option periods, inspections, and financing are three common trouble spots for transactions, but there are many others. Problems with title insurance or the survey, disagreements about items that convey, issues related to homeowners associations, or damage to the property after acceptance of the contract but before closing are a few examples of issues that can arise.

You have a valuable resource

Communicating with your REALTOR® about each stage of the transaction will minimize surprises and increase the chances that your transaction will proceed smoothly.

THE HOUSTON REAL ESTATE MARKET LAUNCHES 2017 IN POSITIVE TERRITORY

February 22, 2017 by · Leave a Comment
Filed under: Real Estate 

Sales volume and pricing were up in January; inventory grew

HOUSTON — (February 8, 2017) The Houston housing market carried its positive momentum from 2016 into the new year, with single-family home sales and pricing both on the rise in January. Homes priced between $500,000 and $750,000 showed the strongest sales activity, and the luxury market ($750,000 and above) enjoyed its third consecutive month in the black, reflecting resistance to any lingering effects of the ailing energy industry.

According to the latest monthly report produced by the Houston Association of Realtors (HAR), a total of 4,080 single-family homes sold in January compared to 4,011 a year earlier. That represents an increase of 1.7 percent. Housing inventory grew from a 3.3-months supply to 3.5 months.

“The Houston real estate market is off to an impressive start for 2017, with the end of the holidays and rising interest rates spurring many on-the-fence buyers to take action in January,” said HAR Chair Cindy Hamann with Heritage Texas Properties. “It is especially encouraging to see vitality in the high end of the market, which faltered in response to falling oil prices, but has now registered positive sales for three straight months.”

The single-family home median price (the figure at which half of the homes sold for more and half sold for less) rose 4.0 percent to $210,000. That marks the highest median price ever for a January. The average price jumped 5.3 percent to $275,696, which also represents a January high.

January sales of all property types in Houston totaled 4,997, up 0.9 percent from the same month last year. Total dollar volume for properties sold in January increased 6.2 percent to $1.3 billion.

January Monthly Market Comparison

The Houston housing market saw across-the-board gains in January, with single-family home sales, total property sales, total dollar volume and pricing all up compared to January 2016.

Month-end pending sales for single-family homes totaled 6,286, an increase of 24.7 percent compared to last year. Total active listings, or the total number of available properties, rose 8.6 percent from January 2016 to 34,958.

Single-family homes inventory grew from a 3.3-months supply to 3.5 months. For perspective, housing inventory across the U.S. currently stands at a 3.6-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES JANUARY 2016 JANUARY 2017 CHANGE
Total property sales 4,953 4,997 0.9%
Total dollar volume $1,227,395,347 $1,303,839,766 6.2%
Total active listings 32,190 34,958 8.6%
Single-family home sales 4,011 4,080 1.7%
Single-family average sales price $261,847 $275,696 5.3%
Single-family median sales price $202,000 $210,000 4.0%
Single-family months inventory* 3.3 3.5 0.2 mos.
Single-family pending sales 5,041 6,286 24.7%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.

Single-Family Homes Update
Single Family

Single-family home sales totaled 4,080, up 1.7 percent from January 2016, when sales volume totaled 4,011. The median price rose 4.0 percent to a January high of $210,000. The average price climbed 5.3 percent to $275,696, also a record high for a January. Days on Market (DOM), or the number of days it took the average home to sell, edged up to 64 days versus 63 last year.

Broken out by housing segment, January sales performed as follows:

  • $1 – $79,999: decreased 16.3 percent
  • $80,000 – $149,999: decreased 9.4 percent
  • $150,000 – $249,999: increased 4.1 percent
  • $250,000 – $499,999: increased 3.7 percent
  • $500,000 – $749,999: increased 16.5 percent
  • $750,000 and above: increased 14.3 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 3,429 in January, up 2.6 percent versus the same month last year. The average sales price rose 6.5 percent to $259,865 while the median sales price jumped 5.4 percent to $195,000.

Townhouse/Condominium Update

Townhome and condominium sales fell in January, with 369 units selling versus 390 a year earlier. That represents a decline of 5.4 percent. The average price rose 1.4 percent to $187,176, while the median price slipped 1.1 percent to $138,000. Inventory jumped from a 3.0-months supply to 3.6 months.

Townhouse/Condominium Sales
Lease Property Update

The lease market had a strong showing in January. Single-family home leases climbed 5.7 percent and townhome/condominium leases increased 6.0 percent. The average rent for single-family homes dropped 1.3 percent to $1,718, while the average rent for townhomes/condominiums fell 4.7 percent to $1,497.

Houston Real Estate Highlights in January
  • Single-family home sales rose 1.7 percent with 4,080 units sold;
  • Total property sales edged up 0.9 percent with 4,997 units sold;
  • Total dollar volume jumped 6.2 percent to $1.3 billion;
  • At $210,000, the single-family home median price rose 4.0 percent to a January high;
  • The single-family home average price climbed 5.3 percent to $275,696, which was also the highest level for a January;
  • Single-family homes months of inventory climbed to a 3.5-months supply;
  • Townhome/condominium sales fell 5.4 percent, with the average price up 1.4 percent to $187,178 and the median price down 1.1 percent to $138,000;
  • Leases of single-family homes rose 5.7 percent with average rent down slightly to $1,718;
  • Leases of townhomes/condominiums increased 6.0 percent with average rent down 4.7 percent to $1,497.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com. The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.

The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)

Founded in 1918, the Houston Association of REALTORS® (HAR) is a 36,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

HOUSTON HOME SALES SURGE IN NOVEMBER

December 19, 2016 by · Leave a Comment
Filed under: Real Estate 
MLS Report for November 2016

Luxury market enjoys its first sales increase in over a year

HOUSTON — (December 14, 2016) The Houston housing market registered healthy gains in November thanks to more plentiful inventory, with single-family home sales surging nearly 23 percent compared to one year earlier when oil jitters sent sales tumbling. Sales among luxury homes (priced at $500,000 and above) —the segment most constrained by the ailing energy industry— leapt almost 33 percent. That represents the first increase that segment has seen since August 2015. For perspective, the increases place the market about 10 percent ahead of 2014 sales volumes.

Homes priced between $150,000 and $500,000 enjoyed continued strong homebuyer demand. In addition, both median and average price reached record highs for a November.

According to the latest monthly report prepared by the Houston Association of Realtors (HAR), a total of 5,706 single-family homes sold in November compared to 4,651 a year earlier. On a year-to-date basis, home sales are up 2.7 percent compared to this point in 2015. Inventory levels grew slightly from a 3.4-months supply to 3.6 months.

“It looks like the Houston real estate market is sprinting toward the 2016 finish line, based on the solid numbers in November’s report,” said HAR Chairman Mario Arriaga with First Group. “The market has shown tremendous resilience throughout the year in the midst of a struggling energy sector, and we are especially encouraged by the strong sales volume that the luxury home segment registered last month.”

The single-family home median price (the figure at which half of the homes sold for more and half sold for less) rose 8.3 percent to $222,000 That marks the highest median price ever for a November. The average price increased 7.2 percent to $281,671, which also represents a November high.

November sales of all property types in Houston totaled 6,890, up 21.4 percent from the same month last year. Total dollar volume for properties sold in November shot up 28.7 percent to $1.8 billion.

November Monthly Market Comparison

The Houston housing market saw across-the-board gains in November, with single-family home sales, total property sales, total dollar volume and pricing all up compared to November 2015.

Month-end pending sales for single-family homes totaled 5,799, an increase of 15.5 percent compared to last year. Total active listings, or the total number of available properties, rose 8.6 percent from November 2015 to 36,151.

Single-family homes inventory grew from a 3.4-months supply to 3.6 months. For perspective, housing inventory across the U.S. currently stands at a 4.3-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES NOVEMBER 2015 NOVEMBER 2016 CHANGE
Total property sales 5,676 6,890 21.4%
Total dollar volume $1,420,028,031 $1,827,990,565 28.7%
Total active listings 33,298 36,151 8.6%
Single-family home sales 4,651 5,706 22.7%
Single-family average sales price $262,811 $281,671 7.2%
Single-family median sales price $205,000 $222,000 8.3%
Single-family months inventory* 3.4 3.6 0.2 mos.
Single-family pending sales 5,019 5,799 15.5%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.

Single-Family Homes Update
Single Family

Single-family home sales totaled 5,706, up 22.7 percent from November 2015. That is the greatest year-over-year sales volume increase for a single month since July 2013. The median price rose 8.3 percent to a November high of $222,000. The average price climbed 7.2 percent to $281,671, also a record high for a November. Days on Market (DOM), or the number of days it took the average home to sell, edged up to 57 days versus 55 last year.

Broken out by housing segment, November sales performed as follows:

  • $1 – $79,999: decreased 19.8 percent
  • $80,000 – $149,999: decreased 7.2 percent
  • $150,000 – $249,999: increased 29.1 percent
  • $250,000 – $499,999: increased 47.4 percent
  • $500,000 and above: increased 32.5 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 4,741 in November, up 23.3 percent versus the same month last year. The average sales price rose 9.6 percent to $264,563 while the median sales price jumped 10.8 percent to $205,000.

Townhouse/Condominium Update

Townhome and condominium sales were also up in November, with 502 units selling in versus 438 a year earlier. That represents a 14.6 percent increase. The average price rose 12.6 percent to $208,388, while the median price surged 22.0 percent to $163,000. Inventory expanded from a 3.1-months supply to 3.7 months.

Townhouse/Condominium Sales
Lease Property Update

The lease market had a mixed performance in November. Single-family home leases rose 3.2 percent, while townhome/condominium leases declined 2.4 percent. The average rent for single-family homes was up 1.0 percent to $1,724, while the average rent for townhomes/condominiums was down 2.6 percent to $1,498.

Houston Real Estate Highlights in November
  • Single-family home sales soared 22.7 percent with 5,706 units sold—representing the greatest year-over-year sales volume increase for a single month since July 2013;
  • On a year-to-date basis, single-family home sales were up 2.7 percent;
  • Total property sales jumped 21.4 percent to 6,890 units;
  • Total dollar volume increased 28.7 percent to $1.8 billion;
  • At $222,000, the single-family home median price rose 8.3 percent to a November high;
  • The single-family home average price increased 7.2 percent to $281,671, which was also the highest level for a November;
  • Single-family homes months of inventory climbed to a 3.6-months supply;
  • Townhome/condominium sales increased 14.6 percent, with the average price up 12.6 percent to $208,388 and the median price up 22.0 percent to $163,000;
  • Leases of single-family homes rose 3.2 percent with average rent up slightly to $1,724;
  • Leases of townhomes/condominiums fell 2.4 percent with average rent down 2.6 percent to $1,498.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 36,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com. The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.

The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)

Founded in 1918, the Houston Association of REALTORS® (HAR) is a 36,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

HOUSTON’S MEDIAN HOME PRICE HITS A RECORD HIGH IN JUNE

July 20, 2016 by · Leave a Comment
Filed under: Real Estate 

Mid-range housing sees positive activity again while inventory gets another boost

HOUSTON — (July 13, 2016) June provided a continued boost to Houston’s housing inventory as new listings entered the market. Home sales volume was unchanged year-over-year, but as the local real estate market has seen for the past several months, most of the homes consumers purchased were priced in the $150,000 to $500,000 range.

According to the latest monthly report prepared by the Houston Association of Realtors (HAR), a total of 7,696 homes sold in June compared to 7,710 a year earlier— statistically unchanged. However, on a year-to-date basis, home sales rose 2.7 percent versus June of 2015. Inventory levels enjoyed another bump, rising from a 3.2-months supply to 3.7 months.

“We continued to see solid buying activity among middle-range housing in June,” said HAR Chairman Mario Arriaga with First Group. “Even though sales overall leveled off compared to last June, volume is up for the year, and we anticipate a sufficient supply of inventory and low interest rates to draw more home buyers into the market in the weeks ahead.”

The single-family home median price—the figure at which half of the homes sold for more and half sold for less—rose 2.5 percent to a record high of $230,538 in June. The average price declined a fractional 0.8 percent in June to $300,178, the second highest level of all time (the highest was $302,599 in June 2015).

June sales of all property types in Houston totaled 9,139, down 0.9 percent from the same month last year. Total dollar volume for properties sold in June declined 1.7 percent to $2.6 billion.

June Monthly Market Comparison

Houston’s monthly housing indicators were mixed in June compared to those from a year earlier, but nevertheless continue to reflect market sustainability. On a year-over-year basis, single-family homes sales were flat, the median price reached a record high while the average price hit the second highest level of all time, total dollar volume declined and inventory grew.

Month-end pending sales for single-family homes totaled 7,801, an increase of 8.6 percent compared to last year. Total active listings, or the total number of available properties, at the end of June climbed 13.8 percent from June 2015 to 35,857.

An increase in new listings in June elevated single-family homes inventory, with levels rising from a 3.2-months supply to 3.7 months. For perspective, housing inventory across the U.S. currently stands at a 4.7-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES JUNE 2015 JUNE 2016 CHANGE
Total property sales 9,224 9,139 -0.9%
Total dollar volume $2,636,457,773 $2,591,071,978 -1.7%
Total active listings 31,509 35,857 13.8%
Single-family home sales 7,710 7,696 -0.2%
Single-family average sales price $302,599 $300,178 -0.8%
Single-family median sales price $225,000 $230,538 2.5%
Single-family months inventory* 3.2 3.7 17.2%
Single-family pending sales** 7,181 7,801 8.6%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.
** Effective May 2015, in an effort to be consistent with industry standards, the Houston MLS is now including all categories of pending sales in its reporting. Previously, the Houston MLS did not include “option pending” and “pending continue to show” listings in its reporting of pending sales. The new methodology is now all-inclusive for listings that went under contract during the month.

Single-Family Homes Update
Single Family

Single-family home sales totaled 7,696 in June, down a fractional 0.2 percent from June 2015.

The median price rose 2.5 percent to an all-time record high of $230,538. The average price declined 0.8 percent to $300,178, second only to last June’s record of $302,599. Days on Market (DOM), or the number of days it took the average home to sell, edged up to 51 days versus 45 last year.

Broken out by housing segment, June sales performed as follows:

  • $1 – $79,999: decreased 20.0 percent
  • $80,000 – $149,999: decreased 19.1 percent
  • $150,000 – $249,999: increased 3.5 percent
  • $250,000 – $499,999: increased 2.5 percent
  • $500,000 and above: decreased 8.7 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 6,669 in June, up 0.6 percent versus the same month last year. The average sales price edged up 0.5 percent year-over-year to $286,773 while the median sales price rose 4.6 percent to $218,750.

Townhouse/Condominium Update

Townhome and condominium sales fell 5.8 percent with 665 units selling in June versus 706 a year earlier. The average price declined 2.4 percent to $197,937 while the median price climbed 2.1 percent to $164,450. Inventory grew from a 2.7-months supply to 3.3 months.

Townhouse/Condominium Sales
Lease Property Update

Renters were once again out in force in June. Single-family home leases rose 4.8 percent, while townhome/condominium leases jumped 12.9 percent. The average rent for single-family homes ticked up to $1,883 and the average rent for townhomes/condominiums dropped 5.6 percent to $1,658.

Houston Real Estate Highlights in June
  • Single-family home sales were basically unchanged with a total of 7,696 units sold;
  • On a year-to-date basis, single-family home sales are up 2.7 percent;
  • Total property sales fell 0.9 percent to 9,139 units;
  • Total dollar volume declined 1.7 percent to $2.6 billion;
  • At $230,538, the single-family home median price rose 2.5 percent to a record high;
  • The single-family home average price declined 0.8 percent to the second highest level of all time, $300,178 (the highest was $302,599 in June 2015);
  • Single-family homes months of inventory climbed to a 3.7-months supply versus 3.2 months a year earlier;
  • Townhome/condominium sales fell 5.8 percent with the average price down 2.4 percent to $197,937 and the median price up 2.1 percent to $164,450;
  • Leases of single-family homes were up 4.8 percent with rents up slightly to $1,883;
  • Leases of townhomes/condominiums soared 12.9 percent with rents down 5.6 percent to $1,658.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 32,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com. The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.

The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)

Founded in 1918, the Houston Association of REALTORS® (HAR) is a 32,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

Real Estate in the Digital Age: Why you still want an agent by your side

June 27, 2016 by · Leave a Comment
Filed under: Real Estate 

(BPT) – Homebuyers and sellers today can instantly check listings, monitor price fluctuations, research their credit scores and find lenders – all from their smartphones.

The advent of mortgage industry apps – which mingle aggregated data with complex algorithms in easily accessible formats – enables many shoppers and sellers to approach the process with more confidence.

While technology empowers consumers to shop and sell smarter, it can’t replace the service and expertise of an experienced agent. Real estate agents know the local market and have access to the freshest sales data.

For sellers, real estate agents can price a house in line with the market to maximize earnings. According to recent data from the National Association of Realtors, sellers using an agent earn $40,100 more per transaction. The median sale price for the 88 percent of sellers who worked with an agent was $215,000, versus a median sale price of $174,900 for the 9 percent of sellers who didn’t use an agent, according to the association.

Buying a home is not like purchasing a plane ticket according to Greg Jaeger, president at USAA Residential Real Estate Services and a former real estate agent. He said buyers and sellers often fail to account for the psychological side of a transaction.

“An agent can help prepare the seller for offers that are intentionally too low,” Jaeger said. “You’re asking $250,000 for your home; I offer $200,000 and you’re immediately insulted. An agent can keep you calm and focused on the end game.”

Agents also help buyers navigate the rollercoaster of emotions in getting credit approved or viewing a home inspection report for the first time.

Jaeger knows of this psychological value not only as a former agent, but also as a father of a first-time homebuyer. His 24-year-old son recently bought an older home that was initially chockfull of cheaply done rehabilitation projects.

“The seller was pretty irritable about some items and flat out embarrassed about others,” Jaeger said. “My son’s real estate agent really earned his commission in making sure the proper repairs were on track and protecting my son from the ire of the seller.”

Homes, neighborhoods and their governing state laws are as diverse as the people living in them. Real estate agents are entrenched in those ever-changing state regulations, contracts, laws and practices.

“When making one of the biggest financial decisions of your life, it’s important to have a trusted, experienced counselor by your side,” Jaeger said.

THE HOUSTON REAL ESTATE MARKET MAINTAINS A HEALTHY BALANCE IN APRIL

May 23, 2016 by · Leave a Comment
Filed under: Real Estate 
Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 32,000 REALTORS®
MLS Report for April 2016

Home sales are up year-to-date; mid-range housing remains the sweet spot

HOUSTON — (May 11, 2016) The Houston real estate market continues to display healthy equilibrium despite instability in the energy industry. Overall single-family home sales volume was virtually flat in April, however mid-range homes scored another month of positive sales and the supply of homes available for sale grew some more. The average price was down slightly while the median price rose to an all-time April high.

Single-family home sales declined a fractional 0.6 percent versus April 2015, with a total of 6,310 sales compared to 6,349 a year earlier, according to the latest monthly report prepared by the Houston Association of Realtors (HAR). On a year-to-date basis, home sales are 1.6 percent ahead of last year’s pace. New listings helped inventory grow from a 2.9-months supply to 3.6 months.

“There is little to complain about in the April HAR sales report, especially when you take into account the fact that we are comparing current home sales to the Houston housing market’s record 2015 performance,” said HAR Chairman Mario Arriaga with First Group. “Indicators continue to point to more sustainable market conditions, as mid-range homes sell well and consumers find that they have more homes from which to choose than they did at this time last year.”

Home prices delivered mixed readings in April. The single-family home average price declined 1.0 percent to $278,544. The median price-the figure at which half of the homes sold for more and half sold for less—rose 3.3 percent to $217,000, the highest price ever for an April.

April sales of all property types in Houston totaled 7,583, down 2.0 percent from the same month last year. Total dollar volume for properties sold in March declined 1.6 percent to $2.01 billion.

April Monthly Market Comparison

Houston’s housing market figures were mixed in April compared to those from a year earlier, but continue to support what are considered more sustainable market conditions. On a year-over-year basis, single-family homes sales, average price and total dollar volume were down slightly while inventory levels grew and the median sales price rose to an April record high.

Month-end pending sales for single-family homes totaled 8,213, an increase of 2.3 percent compared to last year. Total active listings, or the total number of available properties, at the end of April climbed 16.7 percent from April 2015 to 34,402.

April’s increase in new listings gave single-family homes inventory a boost, with levels climbing from a 2.9-months supply to 3.6 months. For perspective, housing inventory across the U.S. currently stands at a 4.5-months supply, according to the latest report from the National Association of Realtors (NAR).

CATEGORIES APRIL 2015 APRIL 2016 CHANGE
Total property sales 7,741 7,583 -2.0%
Total dollar volume $2,049,590,794 $2,016,963,688 -1.6%
Total active listings 29,486 34,402 16.7%
Single-family home sales 6,349 6,310 -0.6%
Single-family average sales price $281,352 $278,544 -1.0%
Single-family median sales price $210,000 $217,000 3.3%
Single-family months inventory* 2.9 3.6 22.6%
Single-family pending sales** 8,027 8,213 2.3%

* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.
** Effective May 2015, in an effort to be consistent with industry standards, the Houston MLS is now including all categories of pending sales in its reporting. Previously, the Houston MLS did not include “option pending” and “pending continue to show” listings in its reporting of pending sales. The new methodology is now all-inclusive for listings that went under contract during the month.

Single-Family Homes Update
Single Family

Single-family home sales totaled 6,310 in April, down just 0.6 percent from April 2015.

The average price declined 1.0 percent to $278,544, while the median price rose 3.3 percent $217,000, a record high for an April in Houston. Days on Market (DOM), or the number of days it took the average home to sell, edged up to 55 days versus 51 in 2015.

Broken out by housing segment, April sales performed as follows:

  • $1 – $79,999: decreased 12.8 percent
  • $80,000 – $149,999: decreased 19.3 percent
  • $150,000 – $249,999: increased 7.8 percent
  • $250,000 – $499,999: increased 2.1 percent
  • $500,000 and above: decreased 15.7 percent
Single Family Average Home Price

HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 5,428 in April, up 1.0 percent versus the same month last year. The average sales price fell 0.9 percent year-over-year to $260,019 while the median sales price rose 4.1 percent to $201,000.

Townhouse/Condominium Update

Sales of townhouses and condominiums tumbled 12.6 percent in April coming off of last month’s year-over-year increase of 4.7 percent. A total of 562 units sold compared to 643 properties in April 2015. The average price rose 4.1 percent to $206,832 while the median price climbed 7.3 percent to $153,450. Inventory grew from a 2.6-months supply to 3.4 months.

Townhouse/Condominium Sales
Lease Property Update

Demand for lease properties was very strong in April. Rentals of single-family homes jumped 18.1 percent, while townhomes/condominiums saw demand soar 26.0 percent. The average rent for single-family homes rose 2.6 percent to $1,811 while the average rent for townhomes/condominiums declined 1.4 percent to $1,574.

Houston Real Estate Highlights in April
  • Single-family home sales declined a fractional 0.6 percent compared to last April;
  • On a year-to-date basis, single-family home sales are up 1.6 percent;
  • Total property sales declined 2.0 percent to 7,583 units;
  • Total dollar volume fell 1.6 percent to $2.01 billion;
  • At $278,544, the single-family home average price was down 1.0 percent compared to last April;
  • The single-family home median price rose 3.3 percent year-over-year to an all-time April high of $217,000;
  • Single-family homes months of inventory climbed to a 3.6-months supply versus 2.9 months a year earlier;
  • Townhome/condominium sales fell 12.6 percent with the average price up 4.1 percent to $206,832 and the median price up 7.3 percent to $153,450;
  • Leases of single-family homes leapt 18.1 percent with rents up 2.6 percent to $1,811;
  • Leases of townhomes/condominiums soared 26.0 percent with rents down 1.7 percent to $1,574.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by 32,000 REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com. The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.

The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)

Founded in 1918, the Houston Association of REALTORS® (HAR) is a 32,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.

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