March single-family home sales closed 5% more units compared to March 2018 and yet, the first quarter of 2019 ended flat with first quarter 2018. The upside is that 15% more pending sales occurred in March than last year. Pending sales are homes under contract that have yet to close. This rise in pending sales indicates April sales will experience a better sales month than last year. Stay tuned and we’ll keep you posted.
In the midst of the Spring market and as we proceed into Summer, the rise in inventory certainly gives buyers a good selection and availability of homes. The average sales price and median sales price are increasing ever so slowly and may remain at a slow pace contingent upon inventory absorption in the future.
Houston Home Sales by Price Class for 2019
What price ranges had the most amount of increased sales in Houston in the First Quarter? The following price classes experienced the largest increase in sales in First Quarter 2018:
- $200,000-$249,999 – up 10% – 3.0 MOI
- $250,000-$299,999 – up 10% – 4.2
- $1,000,000 and up – up 4% – 12.2
- $300,000 – $399,999 –up 2% – 5.3
- $400,000 – $499,999 – up 2% – 6.1
As the table indicates above, homes priced below $400,000 are in a sellers’ market with 5.3 months of inventory or less. Example: Homes priced below $200,000 have less than 3 months of inventory. Homes priced above $400,000-$499,999 are in a normal market with 6.1 months of inventory. Homes priced $500,000 or more are in a buyers’ market. Months of Inventory [MOI in table above] is a statistic used to express how long it will take to deplete the inventory if no new homes come on the market.
The Houston overall market is so large; it rarely reflects the same trends as a submarket area located within its boundaries. Some areas are exceeding Houston’s overall growth in sales while others are lagging behind. For a breakdown of activity by area with a map, CLICK HERE.
To see the hottest selling geographical areas for the month in Houston, CLICK HERE.
To search for homes by price range and map, go to www.GaryGreene.com.
Data provided by the Houston Association of Realtors® Information Services™, and The Real Estate Center for Texas A&M and written by Toni Nelson, Director of Strategic Initiatives for Better Homes and Gardens Real Estate Gary Greene