soaring suburbs

2 Houston-area ZIP codes top 2023 list of hottest housing markets in U.S.

16815 Seminole Ridge Drive, Cypress home for sale, Houston home for sale

This modern farmhouse-style home in Cypress' 77433 neighborhood is on the market for $475,000.

images.estately.net

Despite higher mortgage rates, Houston's housing market continued to attract more people to the suburbs in 2023, according to a new report by Opendoor. And two Houston-area ZIP codes in particular – in Cypress and Katy – were the top two hottest locales in U.S.

The study examined the U.S. ZIP codes where people bought homes the fastest in 2023, using local Multiple Listing Services (MLS) data in markets where Opendoor operates. The ZIP codes were ranked by the total number of homes that went into contract within 90 days of listing.

Overall, the report showed that people are increasingly interested in living outside of a major city, with preferences leaning toward the suburbs and exurbs. Houses in Cypress' 77433 ZIP code sold the fastest out of every area in the U.S. last year, a six-place jump from No. 7 in 2022.

ZIP code 77493 in Katy moved up one spot into No. 2 this year, further displacing ZIP code 37042 in Clarksville, Tennessee (No. 3) which earned the No. 1 spot last year.

Just outside Katy, 77449 in Park Row made its debut on Opendoor's list, ranking No. 20.

The study said turnkey homes and housing prices were among the top priorities for homebuyers in 2023, in addition to convenient locations.

"Homes purchased in our top neighborhoods reflect the desire of homeowners to head to towns with convenient amenities instead of the congestion of bigger cities," the report's author wrote. "Price also continues to be a major factor: Opendoor’s data shows buyers and sellers still believe the housing market is competitive, they’re concerned about interest rates, and they think homes are overpriced."

Texas ZIP codes dominated the top 10, with nine total cities earning spots in the report, including 75126 in Forney (No. 6); 76227 in Aubrey (No. 7); 78130 in New Braunfels (No. 8); 78253 in San Antonio (No. 9); 76179 in Fort Worth (No. 10); and 78641 in Leander (No. 13).

The report also uncovered several under-the-radar neighborhoods where new listings increased throughout 2023. ZIP code 77471 in Rosenberg, a Houston suburb 17 miles south of Katy, was listed among Opendoor's "hidden gems" with homes listed between $400,000-$600,000.

"Newly built homes, like many in these [hidden gem] neighborhoods, are becoming a more accessible option, and developers continue to invest in these areas," the report said. "If [homebuyers are] looking for something move-in ready, take the time to explore these up-and-coming places."

Other "hidden gem" neighborhoods in Opendoor's report include Central Texas cities like Marble Falls (78654) and Bulverde (78163), and North Texas exurbs like Princeton (75407) and Royse City (75189).

Opendoor's hottest ZIP codes of 2023 are:

No. 1 – Cypress, Texas (77433)
No. 2 – Katy, Texas (77493)
No. 3 – Clarksville, Tennessee (37042)
No. 4 – Yukon, Oklahoma (73099)
No. 5 – Summerville, South Carolina (29486)
No. 6 – Forney, Texas (75126)
No. 7 – Aubrey, Texas (76227)
No. 8 – New Braunfels, Texas (78130)
No. 9 – San Antonio, Texas (78253)
No. 10 – Fort Worth, Texas (76179)

The report can be found on opendoor.com.

opendoor reports houston cypress katy real estate housing market

in demand

Houston leads the U.S. with the biggest surge in millionaire renters

IdeasLaboratory.com

undefined

The number of millionaire renters and homeowners in the U.S. has surged over the last five years, and Houston has soared ahead of the rest of the country with the largest growth rate among these affluent renter households.

Houston leads the nation with the No. 1 increase in millionaire renters from 2020 to 2024, a new RentCafe study found. The number of these wealthy households increased from 18 to 232 over the last five years, representing an impressive 1,189 percent growth rate.

"The pandemic accelerated the shift as remote work pushed the wealthy to relocate to lower-tax metros like Houston, where millionaire renters grew 13-fold, versus 3.9-fold for owners," the report said. "Granted, 232 households is still a tiny fraction of the Houston metro’s roughly 2.7 million households, but the growth rate far outpaces any other major metro."

Nationwide, the number of millionaire renter households grew 229 percent from 2020 to 2024, far outpacing the 193 percent growth rate among millionaire homeowners.

Dallas was the only other Texas metro to crack the top 10. The number of millionaire renter households in North Texas has more than quintupled, from just 30 in 2020 to 165 in 2024. That represents a renter growth rate of 450 percent, which — surprisingly — is only the 8th highest nationwide.

But when it comes to the largest populations of millionaire renters, New York City and San Francisco still lead the way. New York claimed the No. 1 spot with nearly 7,300 millionaire renters living in the city in 2024. Houston ranked 12th on that list.

Elsewhere in Texas, Austin and Dallas ranked as the 16th and 17th, respectively, for the largest population of millionaire renters. There were 206 millionaire renters living in Austin in 2024, and 165 in Dallas.

This is who the typical millionaire renter is
The report also revealed a surprising statistic about the typical millionaire renter in the U.S. — a lot of them are millennials working in "white-collar, high-earning fields."

"Nearly half (49 percent) of millionaire renters are Millennials, and the number of affluent Millennial renter households surged 392 percent during the five-year period," the report said. "Gen X follows with 33 percent of millionaire Gen X households renting after increasing by 147 percent."

The report continued, "Although Gen Z still represents a small share of millionaire renters (just 2 percent of the total), no generation has expanded faster: Gen Z millionaire renter households leaped from fewer than a dozen to more than 400 — a tiny cohort today, but one that was virtually nonexistent five years ago."

The top three most common professions for millionaire renters are chief executives, software developers, and managers, the report additionally found. In Houston, the surge of wealthy newcomers are mostly executives, professional athletes, and entertainers.

"These roles tend to generate steady, substantial income without necessarily tying workers to one location, making renting a practical fit, rather than a financial necessity," the report said.

Hotspots for millionaire homeowners
In RentCafe's separate list comparing the top 10 most popular U.S. metros for millionaire homeowners, Houston ranked 12th nationally with 4,374 millioniare homeowners living in the metro as of 2024. These wealthy Houstonians are most likely working as chief executives, physicians, managers, and lawyers and judges.

Houston has already proven to be a hotspot for millennial homebuyers, and the latest RentCafe data says millennials make up 19 percent of all millionaire homeowners in the U.S. Gen Xers and Baby Boomers still maintain the largest shares of millionaire homeowners nationwide, at 45 and 33 percent, respectively.

Dallas (No. 10) and Austin (No. 20) also appeared among the hottest metros for millionaire homeowners.

Only one Texas city appeared among RentCafe's list of the 20 fastest-growing metros for millionaire homeowners: College Station ranked 13th nationwide with a growth rate of 1,329 percent. From 2020-2024, the number of millionaire homeowners residing in College Station grew from 14 to 200.

millionaire renters millionaires rentcafe study rent anderson