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.
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).
“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”
|CATEGORIES||MAY 2016||MAY 2017||CHANGE|
|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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