Despite continued strains within the energy industry and jitters surrounding the outcome of the presidential election, the Houston housing market held steady for a second straight month. Home sales in October were statistically unchanged compared to October 2015. Homes priced between $150,000 and $500,000 experienced positive sales volume while the market’s high and low ends saw declines, mirroring September’s trends. Both median and average price reached record highs for an October.
According to the latest monthly report prepared by the Houston Association of Realtors (HAR), a total of 5,916 single-family homes sold in October compared to 5,893 a year earlier. On a year-to-date basis, home sales are up 1.2 percent compared to this point in 2015. Inventory levels grew slightly from a 3.5-months supply to 3.8 months.
“The Houston housing market continues to demonstrate its strength by holding steady in the midst of a weakened energy sector and uncertainty about the presidential election,” said HAR Chairman Mario Arriaga with First Group. “Even without those influences, autumn traditionally marks a period of slower sales, so we are extremely pleased to see the market keeping pace with last year’s record levels.”
The single-family home median price—the figure at which half of the homes sold for more and half sold for less—rose 6.3 percent to $218,000. That marks the highest median price ever for an October. The average price increased 2.2 percent to $277,904, which also represents an October high.
October sales of all property types in Houston totaled 7,120, up a fractional 0.7 percent from the same month last year. Total dollar volume for properties sold in October rose 1.4 percent to $1.9 billion.
Houston’s monthly housing market indicators yielded positive readings compared to October 2015. On a year-over-year basis, single-family homes sales were statistically unchanged, total property sales rose fractionally, total dollar volume grew, and both the median and average home prices climbed to record October highs.
Month-end pending sales for single-family homes totaled 6,589, an increase of 16.4 percent compared to last year. Total active listings, or the total number of available properties rose 9.2 percent from October 2015 to 37,111.
Single-family homes inventory edged up from a 3.5-months supply to 3.8 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 | OCTOBER 2015 | OCTOBER 2016 | CHANGE |
| Total property sales | 7,071 | 7,120 | 0.7% |
| Total dollar volume | $1,837,260,865 | $1,863,107,351 | 1.4% |
| Total active listings | 33,993 | 37,111 | 9.2% |
| Single-family home sales | 5,893 | 5,916 | 0.4% |
| Single-family average sales price | $271,964 | $277,904 | 2.2% |
| Single-family median sales price | $205,000 | $218,000 | 6.3% |
| Single-family months inventory* | 3.5 | 3.8 | 0.3 mos. |
| Single-family pending sales | 5,660 | 6,589 | 16.4% |
* 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.
Houston Real Estate Highlights in October
- Single-family home sales were statistically unchanged with 5,916 units sold;
- On a year-to-date basis, single-family home sales were up 1.2 percent;
- Total property sales rose 0.7 percent to 7,120 units;
- Total dollar volume increased 1.4 percent to $1.9 billion;
- At $218,000, the single-family home median price rose 6.3 percent to an October high;
- The single-family home average price increased 2.2 percent to $277,904, which was also the highest level for an October;
- Single-family homes months of inventory climbed to a 3.8-months supply;
- Townhome/condominium sales were flat, with the average price unchanged at $197,558 and the median price up 4.7 percent to $157,000;
- Leases of single-family homes declined 1.0 percent with average rent down slightly to $1,728;
- Leases of townhomes/condominiums fell 2.3 percent with average rent down 2.1 percent to $1,488.
Article Source and all Attribution to: HAR.com