The year 2011 rolled out of Houston leaving residential real estate in a positive position and set the stage for an even better year in 2012.
Here’s a snapshot view of statistics on the Houston housing market for 2011:
| Houston Real Estate Information Services [MLS] 2011 vs. 2010 | ||
| Measurement | Amount | % change from 2010 |
| # of sales | 53,606 | 4% |
| Dollar volume | $11,456,826,125 | 5% |
| Average sales price | $213,723 | 1% |
| Median sales price | $155,000 | 1% |
| Contracts written [pending] | 35,031 | 8% |
| # of active listings [current] | 30,786 | -4% |
# of active listings are down by 4% and that’s a good thing! If sales in 2012 are similar or better than 2011, one could at least expect dollar volume, average sales price, and median sales price to rise this year.
Economic Forecast for Houston in 2012 is Expansion!
Sales could be much better in Houston if the forecast from the Greater Houston Partnership comes to fruition. The Partnership’s forecast calls for the10-county Houston metro area to add 84,600 jobs in ’12. Read more in “From Recovery to Expansion” Houston homebuilders are moving forward with a positive strategy in 2012 as Mike Inselmann, President of Metro Study, estimates that approximately 20,000 new homes will be built in the Houston area this year.
And why not? Houston is a great place to buy a home! Interest rates are still at record lows, the job forecast for Houston is positive and there is a good selection of well-priced homes available across the metro area.
The top ten selling price classes by units in Houston for 2011 are:
| Top Ten Selling Price ClassesHouston Single-Family Real Estate2011 | |||
| Price Class | # 2011 Sales | Active Listings | Months of Inventory |
| 1. $200,000-$249,999 | 5,266 | 2,612 | 6 |
| 2 $300,000-$399,999 | 4,300 | 2,288 | 6.4 |
| 3. $250,000-$299,999 | 3,995 | 2,007 | 6 |
| 4. $120,000-$129,999 | 2,581 | 1,283 | 6 |
| 5. $130,000-$139,999 | 2,495 | 1,178 | 5.7 |
| 6. $110,000-$119,999 | 2,454 | 1,185 | 5.8 |
| 7. $80,000-$89,999 | 2,360 | 1,070 | 5.4 |
| 8. $140,000-$149,999 | 2,290 | 1,099 | 5.8 |
| 9. $90,000-$99,999 | 2,248 | 1,153 | 6.2 |
| 10$150,000-$159,999 | 2,189 | 979 | 5.4 |
In reviewing the table above over the course of this year, the good news is that each of these price classes has a lower # of months of inventory than has been seen over the previous months. 2011 was a year when inventory in Houston began trending in the right direction – down
In respect to number of sales for 2011, price classes between $90,000 – $159,999 experienced a decline in sales from 2010, however most other price classes experienced increases.
Houston real estate is out of recovery-mode and on a slow but steady upward climb. Historically, these are the best times to buy a home.
Data compiled by the Houston Association of Realtors® and the Real Estate Center of Texas A & M University and composed by Toni Nelson, Director of Strategic Initiatives for Prudential Gary Greene, Realtors®.
