October 20, 2023 — Austin
Though the overall median price of homes sold in Texas in the third quarter of 2023 decreased 1.5% compared to the same period one year ago, more Texas metro areas saw median price increases than decreases, according to the 2023-Q3 Quarterly Housing Report released today by Texas REALTORS®. In Q3 2023, active listings, days homes spent on the market, and months of inventory all saw increases from the same period in 2022.
“We are continuing to see the housing market progress toward more balance between buyers and sellers,” said Marcus Phipps, 2023 Chairman of Texas REALTORS®. “An increase in the supply of homes and the average number of days homes stay on the market means that buyers in many areas may have more choices and a little more time to make decision. However, these trends vary by metro and even by neighborhood, so it’s smart to discuss market conditions in your area with your REALTOR®.”
The median sales price of Texas homes in Q3 2023 decreased to $340,000 from $345,000 in the same period last year. Approximately half of the homes sold in the third quarter were in the $200,000 – $399,999 price range. At the lowest and highest ends of the price distribution, 13% of homes were sold for under $200,000, while 4% sold for at least $1 million.
Texas homes spent an average of 48 days on the market in Q3 2023, 17 days longer than in the same quarter last year. Taking the number of days to close into consideration, on average it took 11 days longer to sell a property in Q3 2023 than in the same quarter last year.
Months of inventory, or how long it would take to sell the existing number of homes on the market at the current pace of sales, stood at 3.7 months in the third quarter of 2023, which was an increase from 2.7 months in the same period last year. A balanced market is estimated at 6 to 6.5 months of inventory, according to the Texas Real Estate Research Center.
Active listings increased 15.2% in the third quarter of 2023 compared to the same period in 2022.
“The real estate market can change in subtle or significant ways over short periods of time,” said Chairman Phipps. “It’s our job as REALTORS® to help Texans understand and navigate those changes. We are here to simplify the process and to support buyers and sellers every step of the way to achieve their homeownership goals.”