Tuesday, June 19, 2012

Houston Real Estate Market Might Be the Hottest in the Country, As Home Prices Rise to All-Time Highs

Houston Association of Realtors -- "Houston home shoppers went on a buying spree in May, sending sales volume and pricing through the roof and accounting for the 12th consecutive month of positive sales. Average and median prices broke records while volume of sales reached the highest level since June 2008. Local housing inventory is now at its lowest level in more than five years.

May sales of single-family homes soared 23.8 percent versus one year earlier. That marks the biggest monthly increase since last August. 

The May single-family home average price rose 8.5 percent year-over-year to $237,083, the highest level ever in Houston. The median price—the figure at which half of the homes sold for more and half sold for less—rose 7.1 percent to $168,000, which is also a record high."

MP: With home prices at historical highs and sales volume at the highest level in four years, I think we can conclude that the Houston real estate market has made a full recovery from the real estate crash, mortgage meltdown and financial crisis.  

Update: Pittsburgh is not doing too badly either, with homes sales up 18.1% and the total sales volume up 23.3% compared to the same month in 2011. 

7 Comments:

At 6/19/2012 6:37 PM, Blogger gadfly said...

The Houston housing market is getting its boost from the Eagle Ford shale play and in Pittsburgh, in the midst of the Marcellus play, the presence of mineral rights can affect sales but housing sales volume remains down despite sales price increases - so realtors will not admit that shale is helping.

 
At 6/19/2012 7:42 PM, Anonymous Anonymous said...

Wow, 5.5 months of inventory. Getting pretty tight there.

 
At 6/19/2012 11:21 PM, Blogger Henry H said...

I find it doubtful that the housing market is getting a huge boost from the Eagle Ford shale play.

Most of the rigs for the Eagle Ford Shale is on the other side of the state and not Houston. The Eagle Ford shale plays are by San Antonio and Mexico.

 
At 6/20/2012 6:16 AM, Blogger Nick said...

What do you expect to happen to all of these housing markets when interest rates inevitably rise?

 
At 6/20/2012 7:47 AM, Blogger VangelV said...

What do you expect to happen to all of these housing markets when interest rates inevitably rise?

Or when FHA 3% down loans stop after the election?

 
At 6/20/2012 8:12 AM, Blogger morganovich said...

san francisco proper is at all time highs as well.

this fact gets muddied by the fact that it gets reported as the SF metro area which includes the 2 disaster areas of oakland and freemont which have zero to do with what actually goes on in sf where prices were always too high for freddy and fannie or fha loans. supply there is excruciatingly tight and prices are at all time highs.

real estate is local and people seek to move where the jobs are. sf is booming, just like houston (though housing is likely 3-4X the price in the city proper).

 
At 6/21/2012 8:38 AM, Blogger Sean said...

Eagle Ford shale boost?

That would be one hell of a commute.

Don't think so

 

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