December marks the seventh consecutive month of increased home sales; 2011 bests 2010 in sales volume and pricing
HOUSTON — (January 17, 2012) — After several months in which home sales figures were skewed by the effects of the 2010 homebuyer tax credit, the Houston real estate market concluded 2011 solidly in the black. December marked the seventh straight month of increased home sales and the month contained a host of indicators suggesting a healthy start to the new year. Prices of single-family homes across Greater Houston for full-year 2011 were up slightly from 2010. The median price reached an all-time high for a December in Houston and months inventory hit its lowest level in two years.
According to the latest monthly data compiled by the Houston Association of REALTORS® (HAR), December sales of single-family homes throughout the Houston market climbed 7.2 percent when compared to December 2010. Positive sales activity was recorded in every segment of the housing market except the luxury segment—those homes priced from $500,000 and above—which was unchanged year-over-year.
The average price of a single-family home was statistically flat at $219,791 compared to December 2010 while the December single-family home median price—the figure at which half of the homes sold for more and half sold for less—rose 1.9 percent from one year earlier to $160,000.
Foreclosure property sales reported in the Multiple Listing Service (MLS) increased 6.1 percent in December compared to December 2010. Foreclosures comprised 20.5 percent of all property sales, remaining consistent with the levels they maintained for much of 2011. December's median price of foreclosures held steady on a year-over-year basis at $82,550.
December sales of all property types in Houston totaled 5,460, up 6.6 percent compared to December 2010. Total dollar volume for properties sold during the month increased 7.5 percent year-over-year to $1.16 billion. On an annualized basis, sales of all property types were up 4.3 percent compared to 2010 levels while total dollar volume rose 5.2 percent to $13 billion.
"2011 ended on a very promising note," said Wayne A. Stroman, HAR chairman and President/CEO of Stroman Realty.""We spent a good part of the year struggling to accurately gauge the market because we were comparing to accelerated sales in 2010 that resulted from the homebuyer tax credit. Once we distanced ourselves from that period, we saw clear indications of a healthy market with a balanced supply of housing inventory and strong pricing—conditions that put Houston in an enviable position compared to many housing markets around the country. The key to sustaining that positive momentum in 2012 will be continued improvement in Houston's employment numbers."
The Houston housing market concluded calendar year 2011 with noteworthy gains in sales volume along with strong pricing. Single-family home sales rose 4.0 percent for the year while sales of all property types increased 4.3 percent. On a year-to-date basis, the average price rose 0.9 percent to $213,723 while the median price ticked up 0.7 percent to $155,000. Total dollar volume for full-year 2011 climbed 5.2 percent to $13 billion compared to full-year 2010.
| CATEGORIES | FULL-YEAR 2010 | FULL-YEAR 2011 | PERCENT CHANGE |
| Single-Family Home Sales | 51,556 | 53,606 | 4.0% |
| Total Property Sales | 61,005 | 63,610 | 4.3% |
| Total Dollar Volume | $12,364,327,660 | $13,012,903,352 | 5.2% |
| Single-Family Average Sales Price | $211,765 | $213,723 | 0.9% |
| Single-Family Median Sales Price | $153,990 | $155,000 | 0.7% |
The month of December brought Houston's overall housing market positive results when all listing categories are compared to December 2010. Sales of single-family homes as well as all property types rose along with total dollar volume. The median single-family price increased to its highest level for a December in Houston while the average price remained unchanged.
Month-end pending sales for December totaled 2,907, up 3.0 percent from last year and a signal that a further increase in demand is likely when the January figures are tallied. The number of available properties, or active listings, at the end of December fell 14.1 percent compared to December 2010. This absorption of housing inventory accounted for a 20.2 percent decline in months inventory to the lowest level since December 2009—5.8 months versus 7.2 months in December 2010. That means it would take 5.8 months to sell all the single-family homes on the market based on sales activity over the past year. The figure is significantly better than the national inventory of single-family homes of 7.0 months reported by the National Association of REALTORS® (NAR). These indicators all continue to reflect a well-balanced real estate marketplace for Houston.
| CATEGORIES | DECEMBER 2010 | DECEMBER 2011 | PERCENT CHANGE |
| Total property sales | 5,122 | 5,460 | 6.6% |
| Total dollar volume | $1,079,022,599 | $1,159,956,192 | 7.5% |
| Total active listings | 49,005 | 42,083 | -14.1% |
| Total pending sales | 2,821 | 2,907 | 3.0% |
| Single-family home sales | 4,295 | 4,604 | 7.2% |
| Single-family average sales price | $220,479 | $219,791 | -0.3% |
| Single-family median sales price | $157,000 | $160,000 | 1.9% |
| Months inventory* | 7.2 | 5.8 | -20.2% |
December sales of single-family homes in Houston totaled 4,604, up 7.2 percent from December 2010. This marked the seventh consecutive increase of 2011. Broken out by segment, December sales of homes priced below $80,000 rose 10.2 percent; sales of homes in the $80,000-$150,000 range were up 3.1 percent; sales of homes between $150,000 and $250,000 climbed 7.3 percent; sales of homes ranging from $250,000-$500,000 advanced 12.8 percent; and sales of homes that make up the luxury market—priced from $500,000 and up—were unchanged.
At $219,791, the average price of single-family homes was statistically flat compared to last December. At $160,000, the median sales price for single-family homes reached a December high for Houston, rising 1.9 percent year-over-year. That compares to the national single-family median price of $164,100 reported by NAR.
HAR also breaks out the sales performance of existing single-family homes throughout the Houston market. In December 2011, existing home sales totaled 3,755, a 7.7 percent increase from December 2010. The average sales price edged up 0.9 percent from last year to $203,253 and the median sales price was flat at $145,000.
December sales of townhouses and condominiums rose 3.2 percent compared to one year earlier. In the greater Houston area, 388 units were sold last month versus 376 properties in December 2010.
The average price climbed 2.5 percent to $173,675 from December 2010 to December 2011. The median price of a townhouse/condominium declined 4.9 percent to $131,750.
The demand for Houston lease properties that prevailed throughout 2011 continued in December, though at a slower pace. Single-family home rentals rose 12.3 percent compared to one year earlier and year-over-year townhouse/condominium rentals ticked up 0.7 percent.
As HAR reported throughout year, this demand was largely perceived as the result of hiring gains that have drawn consumers to Houston from around the U.S. These consumers may not be prepared or capable of purchasing a home for various reasons, among them tighter mortgage lending criteria. According to the Greater Houston Partnership, as of November 2011, the Houston metropolitan area gained 170,700 net new jobs, recovering 112 percent of the 152,800 jobs lost during the recession.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com.
The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.
The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)
Founded in 1918, the Houston Association of REALTORS® (HAR) is a member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.
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 REALTOR®-- A registered collective membership mark that identifies a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics. |
November prices are mixed as indicators reflect a healthy year-end market
HOUSTON — (December 20, 2011) — Consumers kept the Houston real estate market humming in November, accounting for the sixth consecutive month of positive home sales this year. The year-over-year increase in single-family homes sales, along with another rise in pending sales and further decline in months inventory, reflects a market that continues to benefit from a healthy absorption of housing inventory as 2011 winds down.
November sales of single-family homes rose 11.4 percent versus one year earlier, according to the latest monthly data prepared by the Houston Association of REALTORS® (HAR). On a year-to-date basis, sales were up 4.1 percent. All segments of the housing market experienced growth except for the luxury segment—those homes priced from $500,000 and above—whose decline pulled down the overall average price. The median price saw its biggest increase since February of this year.
"The November report contains a lot of positive data that suggests the Houston real estate market is wrapping up 2011 on solid footing," said Carlos P. Bujosa, HAR chairman and VP at Transwestern. "The Greater Houston Partnership has forecast that our region will add more than 84,000 jobs next year, and as long as that's the case, we would hope to see further strengthening of the local economy, including real estate."
The single-family home median price—the figure at which half of the homes sold for more and half sold for less—reached the highest level for a November in Houston, climbing 2.6 percent to $154,950. The average price declined 4.8 percent from November 2010 to $206,969, but still managed to achieve the second highest level for a November in Houston.
Foreclosure property sales reported in the Multiple Listing Service (MLS) increased 9.2 percent year-over-year in November. Foreclosures comprised 20.2 percent of all property sales, which is consistent with the levels they have maintained since May of this year. The median price of foreclosures in October ticked up 0.8 percent to $80,000.
November sales of all property types in Houston totaled 4,676, up 10.6 percent compared to November 2010. Total dollar volume for properties sold during the month rose 4.4 percent to $942 million versus $903 million one year earlier.
The month of November brought Houston's overall housing market positive results when all sales categories are compared to November of 2010. Total property sales and total dollar volume rose on a year-over-year basis. The median price climbed to an historic high for a November in Houston. Although the average price declined, it recorded its second highest level for a November in Houston.
Month-end pending sales for November totaled 3,013. That is up 16.6 percent from last year and suggests another positive month of sales when the December figures are tallied. The number of available properties, or active listings, at the end of November declined 13.0 percent from November 2010 to 45,113. The inventory of single-family homes dropped to its lowest level since January 2010—6.2 months, compared to 7.6 months one year earlier. That means it would take 6.2 months to sell all the single-family homes on the market based on sales activity over the past year. The figure is significantly better than the national inventory of single-family homes of 8.0 months reported by the National Association of REALTORS® (NAR). These indicators all continue to reflect a balanced real estate marketplace for Houston.
| CATEGORIES | NOVEMBER 2010 | NOVEMBER 2011 | PERCENT CHANGE |
| Total property sales | 4,229 | 4,676 | 10.6% |
| Total dollar volume | $902,512,984 | $942,179,593 | 4.4% |
| Total active listings | 51,875 | 45,113 | -13.0% |
| Total pending sales | 2,583 | 3,013 | 16.6% |
| Single-family home sales | 3,568 | 3,973 | 11.4% |
| Single-family average sales price | $217,421 | $206,969 | -4.8% |
| Single-family median sales price | $151,000 | $154,950 | 2.6% |
| Months inventory* | 7.6 | 6.2 | -17.7% |
November sales of single-family homes in Houston totaled 3,973, up 11.4 percent from November 2010. This marks the sixth consecutive increase of the year. On a year-to-date basis, sales are ahead 4.1 percent.
Broken out by segment, November sales of homes priced below $80,000 rose 10.9 percent; sales of homes in the $80,000-$150,000 range climbed 11.3 percent; sales of homes between $150,000 and $250,000 were up 17.7 percent; sales of homes ranging from $250,000-$500,000 advanced 13.0 percent; and sales of homes that make up the luxury market—priced from $500,000 and up—dropped 5.7 percent.
At $206,969, the average price of single-family homes declined 4.8 percent compared to last November. It nonetheless achieved the second highest pricing level for a November in Houston. The depreciation resulted from the lower volume of luxury home sales. At $154,950, the median sales price for single-family homes reached a November high, rising 2.6 percent year-over-year, its biggest increase since February 2011. The national single-family median price reported by NAR is $161,600, illustrating the continued higher value and lower cost of living available to consumers in Houston.
HAR also breaks out the sales performance of existing single-family homes throughout the Houston market. In November 2011, existing home sales totaled 3,224, a 12.8 percent increase from November 2010. The average sales price declined 6.3 percent from last year to $194,008 and the median sales price edged up 1.5 percent to $139,000.
The number of townhouses and condominiums that sold in November rose 1.6 percent compared to one year earlier, marking the fifth straight monthly sales increase. In the greater Houston area, 322 units were sold last month versus 317 properties in November 2010. The average price climbed 8.4 percent to $172,658 from November 2010 to November 2011.
The median price of a townhouse/condominium rose 10.2 percent to $135,000. Both average and median prices were the highest ever for a November in Houston.
Heightened demand for Houston lease properties persisted in November. Single-family home rentals rose 13.5 percent compared to one year earlier and year-over-year townhouse/condominium rentals climbed 4.1 percent. HAR has reported throughout much of 2011 that this demand has been largely driven by hiring gains that have drawn consumers to Houston from around the country. These consumers may not be ready or able to purchase a home for various reasons, among them more stringent mortgage lending requirements.
The computerized Multiple Listing Service of the Houston Association of REALTORS® includes residential properties and new homes listed by REALTORS® throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 50,000 properties may be found on the Internet at http://www.har.com.
The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.
The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)
Founded in 1918, the Houston Association of REALTORS® (HAR) is a member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual dues-paying membership trade association in Houston as well as the second largest local association/board of REALTORS® in the United States.