Looking to make a move to Houston, or maybe just thinking about buying some property there? Houston is one of the biggest cities in the United States, the center of the most diverse metropolitan area in Texas, and an ever-growing economic powerhouse. People come to Houston for careers in aeronautics, healthcare, medical research, oil and natural gas, renewable energy, and many other industries. It's also home to an international port, a thriving theater district, and several professional sports teams. Covering a huge geographical area, Houston has plenty of opportunities and amenities to offer anyone interested in taking up residence there. If you're thinking about becoming a Houstonian, here are some things you might want to know about the current state of the Houston lending and real estate market.
Coming Back Strong From Harvey
Houston is still in recovery from the devastating effects of Hurricane Harvey, which struck in August 2017. From a housing perspective, the city looks to be bouncing back relatively smoothly, with housing prices holding steady (currently at $350,000 for the median list price of a home), with inventory growing. Median home size remains in the 2,200 square foot range. With space to build and a good old Texas-sized mentality, single-family home sales and inventory are outpacing condominiums and townhomes. Inventory is up five percent from only a month ago, now standing at 7,056 homes. Additionally, single-family homes aren't staying on the market as long, with a median listing time of 48 days (as opposed to 57 days for condos and townhomes). Many people who have been fleeing places like New York City and the San Francisco Bay Area, due to astronomically increasing home prices, have been looking at Houston as a great place to relocate. As recovery efforts continue, new homes are built, and Houston keeps growing, it looks like Houston will remain a thriving and dynamic market for years to come.
Mortgage Rates in Houston
Rates for mortgages in Houston have been exceptionally low over the past year, another likely side effect of the hurricane's impact. They are going back up again, though still not quite at the level of the national average. Currently floating at around 4.26% for a thirty-year fixed mortgage, Houston's average mortgage rate makes it a good value for anyone looking to optimize their home-buying dollars. It's a good time to shop around for competitive rates and to look for a great deal on a mortgage loan that can get you moved into the Houston neighborhood of your choice.
Good Rates, Abundant Inventory, and a Bright Future Ahead
Buyers in the Houston real estate market should feel good about their prospects for future growth in home value, continued job opportunities, and the city's overall resilience and diversity. Even with Hurricane Harvey, Houston's real estate market had a great year in 2017—an undeniable indicator of Houston's economic strength. Forecasters believe that home prices in most Houston neighborhoods will continue to go up over the rest of 2018. As is the case with many hot real estate markets, it may be wise to buy sooner rather than later, if you're looking to get the best deal and the best rates. Houston isn't the kind of city to let a natural disaster keep it down for long, so don't go looking for hurricane bargains—but you can still find good homes at reasonable prices.