The Houston Association of Realtors (HAR) just released their May 2017 report which showed impressive movement in the luxury home market (homes over $750,000).  May saw a 27.6% gain in the number of homes sold in the luxury segment of the market, which was was more than double the rate of any other segment.

With the strong move toward the luxury market, potential buyers or builders of luxury homes might want to make a move sooner rather than later.

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

  • $1 – $99,999: unchanged
  • $100,000 – $149,999: decreased 5.3 percent
  • $150,000 – $249,999: increased 13.7 percent
  • $250,000 – $499,999: increased 12.9 percent
  • $500,000 – $749,999: increased 8.5 percent
  • $750,000 and above: increased 27.6 percent

Average single-family home prices rose 4.3% year over year, which has continued the pattern of steady strength in the Houston housing market.
May 2017 HAR Report – Luxury Market Impresses 1

Another interesting aspect of the May report was the rise in inventory.  Months of inventory rose to 4.1 from 3.6 a year ago, continuing the move toward a buyers market, (which we consider to be more than 6 months of inventory).

Here are some interesting quotes and statistics from the report:

“The single-family home median price rose 4.4 percent to a record high of $235,000”

“The single-family home average price climbed 4.3 percent to $302,362, which was the second highest level of all time (highest was $302,629 in June 2015)”

“Single-family homes months of inventory grew to a 4.1-months supply, the highest level since November 2012”

Total property sales 8,676 9,744 12.3%
Total dollar volume $2,376,765,737 $2,790,499,524 17.4%
Total active listings 35,431 41,257 16.4%
Single-family home sales 7,315 8,156 11.5%
Single-family average sales price $289,843 $302,362 4.3%
Single-family median sales price $225,000 $235,000 4.4%
Single-family months inventory* 3.6 4.1 0.5 mos.
Single-family pending sales 7,454 8,808 18.2%

* 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.

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If you would like more detail on a particular building step, or have any questions, please email or call/text Bryan at 713.851.4698.