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Property Management Blog

Houston Real Estate Market Update for December 2013

Houston Real Estate Market Update for December 2013


December MLS sales data shows the 31st consecutive month of increasing sales. Supply of homes for sale is down 16.1% from December of 2012. Months inventory metro wide is down from 3.7 to 2.6 months, an all time record low for the Houston market. Six months is considered a balanced market, so the tight inventory is driving up prices, which are up 10.1% for 2013. forecasts 6% appreciation for 2014. Sales overall were up 18.8% from a year ago, and up especially in the $150K and higher market price ranges. The median price increased from $170,000 to $188,500, or 10.9%. Foreclosures comprised 6.5% of sales, down from 13% a year ago and 37% two years ago. The average rental price for leasing through the MLS increased 7.8%, indicating continuing strong demand for rental property.

Investor loan rates are at 4.875% for a 30 year fixed mortgage, helping cash flow for current purchasers be better than ever.