AUSTIN – Texas home sales reached the strongest sales total in Texas real estate history as 91,418 homes were sold in the second quarter of 2016 – the highest sales total ever recorded in a three-month period, the Texas Association of Realtors reports.
“The last few months have been one of the strongest starts to the summer selling season in the history of Texas real estate,” said Leslie Rouda Smith, chairman of the Texas Association of Realtors. “Texas homes of all types and price classes are in high demand. This is especially true for homes priced under $200,000, which are often preferred by first-time homebuyers but also in shortest supply across the state.”
Second quarter sales rose 4.4 percent increase from the second quarter of 2015, the association said. More than 45 percent of homes sold in the second quarter were priced less than $200,000, while nearly 47 percent were priced between $200,000 and $500,000.
Home prices continued to rise amidst strong population growth and low housing inventory throughout the state, with the median price for Texas homes increasing 7.5 percent year-over-year to $215,000 in the second quart of 2016.
Housing inventory remained statistically unchanged at 3.7 months, a level that indicates a seller’s market. The Real Estate Center at Texas A&M University estimates that a monthly housing inventory between 6.0 and 6.5 months is a level at which the supply and demand for homes is balanced.
Jim Gaines, chief economist at the Real Estate Center at Texas A&M University, added, “While some local markets are still being impacted by declines in the energy sector and housing affordability challenges, overall the Texas housing market continues to perform very well. Flattening declines in statewide housing inventory and an increasing number of homes on the market indicate that Texas could finally be moving towards a more balanced housing market, although it will take some time to do so.”
August 2, 2016. Copyright 2016 Realty News Report.