Texas Housing Market Continues to Grow in 2016

It is unlikely that Texas housing markets will slow down in the near future, with the most recent Quarterly Housing Report from the Texas Association of Realtors showing the market is only becoming stronger. This has occurred despite a fallback in the Texas economy.

Considering the latest deceleration of the Texas economy, the feat of the Texas housing market in the third quarter is extraordinary.

The demand for housing in Texas is exceeding supply, propelling home prices higher. As stated in the report, more than 90,000 homes were sold in Texas between July and September. The median price for homes in Texas went up in the same timespan by 7 percent.

Although the progress may appear trivial, considering that 2015 saw record-breaking sales, any growth is noteworthy. Texas housing sales in 2016 are steadily pushing out last year’s sales numbers. In numerous local markets, that increase is big.

Housing supply has had difficulty increasing, with inventory moving up in the third quarter. This indicated an increase of 0.1 months from the same time period in 2015. In addition, current listings increased by roughly 4 percent.

Texas homes spent on average one day longer on the market than during same quarter of 2015.

This report from the Texas Association of Realtors does not verify the market is in a real estate bubble, but its findings do not indicate it is not a possibility.