Houston Market Report: December 2019

Norhill Realty January 24, 2020

The numbers are in. 2019 was was a healthy positive year for the Houston real estate market. Low mortgage interest rates, strong employment growth, and a stable home inventory all contributed to the record year.

According to the latest report from the Houston Association of Realtors (HAR), 7,505 single-family homes sold in December compared to 6,567 a year earlier for a 14.3-percent increase. The strongest sales activity took place among homes priced between $250,000 and $500,000, which rocketed 27.2 percent. Homes in the $150,000 to $250,000 range ranked second place, climbing 13.7 percent. The luxury segment, consisting of homes priced from $750,000 and above, increased 12.7 percent.

Prices of single-family homes set new December highs. The median price (the figure at which half of the homes sold for more and half sold for less) rose 4.6 percent to $251,000 while the average price went up 2.5 percent to $312,922. Despite those highs, pricing increases, in general, began to show moderation as the end of the year drew to a close.

According to HAR, total active listings, or the total number of available properties, went up 3.6 percent to 38,504. December sales of all property types totaled 8,879, up 14.2% compared to the same month last year. As a result, the absorption rate for December 2019 was up slightly to 23% from the 21% rate we saw in December of 2018 for all property types.

Days on Market (DOM), or the number of days it took the average home to sell, improved slightly from 64 to 63. Single-family homes inventory narrowed slightly from a 3.5-months supply to 3.4 months. For perspective, housing inventory across the U.S. currently stands at a 3.7-months supply, according to the latest report from the National Association of Realtors (NAR).

As we settle into 2020, these same dynamics should help push us into a similar direction over the next several months. Although home prices did begin to moderate towards the end of 2019, this should help home buyers in the market as they look to take advantage of the low interest-rate environment.

Norhill Realty provides expert real estate services to residential buyers and sellers in Houston and surrounding communities. Contact us today for more information on Houston real estate and for professional assistance navigating this sometimes complex home market.

 

 

Find and click your neighborhood below to find the latest listings for these great Houston neighborhoods.
Afton Oaks / Highland Village
Bellaire
Briargrove
Briargrove Park / Walnut Bend
Camp Logan / Glen Cove
Cottage Grove
Downtown
EADO / Eastwood
East Washington / Sawyer Heights
Garden Oaks
Houston Heights
Knollwood / Woodside
Memorial West
Meyerland Area
Midtown
Montrose
Oak Forest East
Mangum Manor / Oak Forest West
Rice Military / Washington Corridor
River Oaks Shopping Area
Riverside Terrace
Shady Acres
Shepherd Plaza Park
Spring Branch
Timbergrove / Lazybrook
University Place and Museum Park
Westbury / Maplewood / Brays Oaks
West University / Southside
Willow Meadows / Willowbend

 

Norhill Realty and the MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Twelve-month totals may vary from actual end-of-year figures, due to individual changes to MLS records. This data is for informational purposes only and should not be the sole piece of data used in the evaluation of a buy or sell decision. Consult with one of our Realtors to evaluate any particular property so you can determine how the market relates to that property.