HOUSTON – (By Michelle Leigh Smith for Realty News Report) – The Houston Association of Realtors reported 8,097 single-family homes sold in June as the Houston housing market continued to outperform last year’s record sales.
On a year-to-date basis, single-family home sales remain 1.4 percent ahead of 2018’s record pace.
“June was a busy month for buyer representation,” says Susan Brock, owner of Brock & Foster. “The most sought-after areas for buyers relocating to Houston were Pearland and Sugar Land, both recently recognized as top places to live in Texas. The rental market remains extremely tight, with limited inventory. Listing inventory has increased, and buyers often have choices—especially in close-in Houston neighborhoods like Westbury, Bellaire and Montrose, where we are seeing longer days on market and more frequent price reductions.”
Houston’s median home price reached a record $252,000, up 2.9 percent from June 2018. The average price increased 2 percent to $321,973, the highest average for a June on record.
Although June’s sales were strong at 8,097 homes, that figure represents a 3.4 percent decrease from June 2018, when 8,385 homes were sold. Last June set the single-month sales record in Houston real estate history.
“June was my best month of the year for total dollar volume closings,” says Jamie Barrere with Heritage Properties. “However, it was not a strong month for new pending contracts.”
“I think it reflects where many of my clients are in life,” Barrere adds. “Many want to downsize, which is challenging, so they hesitate to decide though they still tour options. I’m not seeing as many corporate relocation buyers and sellers as I did at this time last year, which historically have been a meaningful part of my business.”
“Home sales have been very steady. Owners whose homes aren’t getting showings should pay attention to what the market is telling them,” says John Daugherty, Jr., CEO of John Daugherty, Realtors. “We are in a very healthy Houston economy.”
Inventory of single-family homes grew to a 4.4-month supply in June, up from 4.1 months a year earlier. That supply level returns the market to conditions that existed before Hurricane Harvey impacted the region in August 2017.
Marlena Berger, a Realtor with Better Homes & Gardens Gary Greene, notes, “It isn’t strictly a seller’s market—it varies by neighborhood and inventory—but overall it leans more toward buyers, and buyers are often selective.”
“We’ve seen significant activity at our downtown high-rise condominium tower, The Marlowe at 1211 Caroline,” says Neal Hamil, president of Carnan Properties.
“We put four units under contract last month, and with current sales velocity we expect to put another four under contract this month,” says Tommy Kanarellis, a top producer with Carnan in 2018. “Interest has surged because Marlowe is the only new-for-sale building downtown, we’re nearing closeout, and interest rates dipped, prompting many renters downtown to buy. We only have 14 units left, priced from $375,000 to $1.2 million, and we expect to be sold out by early fourth quarter.”
Vicki Chu, Broker Associate with Roger Martin Properties, advises homeowners to address flood concerns: “Flooding is a real issue on the Gulf Coast. I strongly recommend purchasing an elevation certificate. It costs about $300 and helps remove uncertainty about flood risk. As we enter another hurricane season, an elevation certificate can ease doubts about whether a house sits high enough.”
“When a home is well-priced, well-maintained and updated, it will draw multiple offers,” Chu adds. “There are a lot of buyers in the market.”
July 10, 2019 Realty News Report Copyright 2019
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