Amid the Texas real estate frenzy of 2021, the Houston-area’s diminishing home inventory is pushing prices to record highs. Any area residents attempting to land the home of their dreams amid the current chaos is liable to tell you the search has been a bit rough -- if not nearly impossible.
In the Houston area, both average and median home prices have skyrocketed, achieving double digit year-over-year growth. The average sales price for a single-family home in June rose 23.7 percent to $395,316, and the median sales price jumped 20 percent to $314,500.
Meanwhile, market supply remained low -- like, really low. Yes, single-family home inventory in June 2021 did increase but it only increased to 1.5 months, up from 1.4 months, an all-time low home supply where Houston-area’s home inventory had hovered since March 2021. Back in June 2020, Houston had a three-month supply
In June, Houston area homes spent an average of just 29 days on the market, a 28 day decrease from June 2020.
“The Houston housing market is in overdrive right now, and we know anecdotally that out-of-town investors have contributed to the frenzy,” said HAR Chairman Richard Miranda. “We saw similar investment activity following Hurricane Harvey, and within a few months, the market stabilized. We expect stability to return this time around, so anyone in the market for a home who is frustrated by current market conditions needs to be patient.”
So, Houston-area home buyers, sellers, and realtors we invite you to sound off and share your experiences navigating this hypercompetitive housing market. What are you witnessing on the frontlines? Get into any bidding wars, suffer through some tough negotiations or nearly lose your mind waiting in an excessively long line at a showing? Share your wildest real estate stories using the submission form at the bottom of the page.