Although the overall Houston real estate market set records in 2018, the luxury segment of the market (homes over $750,000), out-performed the rest. According to the January 2019 Houston Association of Realtors (HAR) report, the luxury segment was the only group to show double digit increases in volume in December when compared to the year before. In fact, most segments showed a decrease in year-over-year volume for December. This strength in the luxury market continues a trend of resiliency over the last few years.
The average single-family home price in Houston reached $306,314 in December, up 4.7% from the year before and reaching a new December record. Overall sales activity was was down 4.1% from last year, dropping to 6,543 homes sold from 6,825 the year before.
December sales volume, broken out by housing segment:
- $1 – $99,999: decreased 31.0 percent
- $100,000 – $149,999: decreased 27.5 percent
- $150,000 – $249,999: decreased 1.9 percent
- $250,000 – $499,999: increased 1.4 percent
- $500,000 – $749,999: decreased 7.4 percent
- $750,000 and above: increased 20.0 percent
Months of inventory increased to a 3.5-months supply, up from 3.2 last December.
Here are some interesting quotes and statistics from the report:
“Despite uncertainties amid Houston’s ongoing recovery from Hurricane Harvey, 2018 proved to be a record year for Houston home sales with 82,177 single-family homes sold versus 79,143 in 2017, the last record-setting year. That represents an increase of 3.8 percent.”
“December single-family home sales declined 4.1 percent year-over-year with 6,543 units sold.”
“At $240,000, the single-family home median price rose 3.4 percent to a December high.”
“The single-family home average price climbed 4.7 percent to a December high of $306,314.”
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