A new study identifying the most expensive neighborhoods across the country puts one Houston neighborhood close to the top of the list for all of Texas.
Afton Oaks, in the ritzy River Oaks area, has been named the second most expensive neighborhood in the state — and the most expensive in the metro — ConstructionCoverage.com. The affluent neighborhood boasts a median home value of $1,024,600. Home values in the neighborhood jumped 3.68 percent in one year, 5.42 percent in the last five, and 3.84 percent in the last decade, the study adds.
Meanwhile, the median home price in the U.S. is $226,700, according to the Zillow Home Price Index, which Construction Coverage used to compare more than 7,000 neighborhoods across the country.
The most expensive neighborhood in the state is Austin's Barton Creek. The upscale neighborhood boasts a median home value of $1,046,600 — currently at its peak.
The third most expensive neighborhood in Texas is Bryker Woods, also located in Austin, with a median home value of $954,700. Fort Worth neighborhood Mira vista comes in fourth at $893,400; Houston's University Place is fifth, at $781,000; San Antonio's The Dominion ranks sixth at $708,400; and North Dallas is seventh at $685,200.
Two other Houston neighborhoods are in the top 30: Neartown-Montrose ranks No. 21 at $513,400, and Memorial ranks No. 23 at $497,000.
Compass real estate broker Grigor Licul told Construction Coverage that the most coveted neighborhoods have more to offer than nice homes. Buyers also buy into a place with "good infrastructure, school districts, and transportation," among other things, he said.
As a result, “Developers follow the demand and develop a higher end product within these neighborhoods, further stratifying the market," Licul said. "It is a reinforcing loop which causes the neighborhoods with a higher price baseline to maintain their pricing advantage [and] remain more resilient to potential downturns.