Houston realtors, real estate professionals, and anyone who sold a home in a hot neighborhood last month have a big reason to break out the bubbly. New data shows that the Houston real estate market had the highest one-month sales volume of all time — and boasts new highs for both average and median prices in June 2018.
According to the latest monthly report from the Houston Association of Realtors (HAR), 8,518 single-family homes sold in June, compared to the last record high of 8,367 homes exactly one year earlier. That represents a 1.8 percent increase.
Meanwhile, the single-family home median price rose 2.6 percent to $245,000 and the average price climbed 4.3 percent to $316,463. These prices broke records set just last month and are the result of strong activity in the luxury market — homes priced at $750,000 and above — which saw an 18.4 percent year-over-year jump in sales volume. (So much for the news that sales of luxury homes in Houston are slowing.)
In fact, demand for cheaper homes is dropping, while more interest in more costly homes is growing, as evidenced by the June sales performance breakdown:
- $1 - $99,999: decreased 29.0 percent
- $100,000 - $149,999: decreased 23.7 percent
- $150,000 - $249,999: increased 16.1 percent
- $250,000 - $499,999: increased 18.0 percent
- $500,000 - $749,999: increased 13.5 percent
- $750,000 and above: increased 18.4 percent
Additionally, June sales of all property types broke the 10,000-mark for the first time in history, totaling 10,115. That represents an increase of 1.7 percent versus the same month last year. The total dollar volume was up 6.6 percent, reaching more than $3 billion.
HAR also breaks out the sales figures for existing single-family homes. Existing home sales totaled 7,186 in June, up 1.2 percent versus the same month last year. The average sales price increased 4.1 percent to $305,583 while the median sales price rose 4.4 percent to $235,000.
After a 7.2 percent decline in May, sales of townhomes and condominiums turned around in June, increasing 4.9 percent with 709 units sold versus 676 a year earlier. The average price fell 1.7 percent to $211,050 while the median price dropped 4.1 percent to $163,000.
“If there were concerns about rising home prices in the Houston market, you wouldn’t know it from all the home buying that took place in June,” said HAR chair Kenya Burrell-VanWormer, in a statement. “We continue to outperform last year’s record pace of home sales, but we’ll keep a close eye on inventory levels in the weeks ahead to ensure they are meeting demand.”