Condos and townhomes were one of the fastest growing segments of the Texas housing market in 2017. According to the Texas Condominium Sales Report released by the Texas REALTORS®, the condo and townhome market exceeded $5.4 billion in sales between August 2016 and July 2017. Condo sales grew 8.6% and townhome sales grew 5.1% during this time period.
“The Texas condominium market has been one of the fastest-growing segments of the housing market this year,” said Vicki Fullerton, chairman of the Texas REALTORS®. “These property types are increasingly preferred among many Texas homebuyers, as they often are less expensive to purchase, require less upkeep and provide closer access to their work, schools and essential services.”
Sales prices for condos and townhomes also grew. The year-to-date median sales price as of July 2017 for condos was $179,900, an annual increase of 9%. Townhomes saw an 8.5% increase in the same period, to $226,675. The inventory for condos and townhomes statewide was 4.9 months as of July 2017, and condos and townhomes spent an average of 61 and 54 days on the market, respectively, during the first seven months of 2017.
“Rapid population growth across the state has turned cities surrounding our major metro areas into job and development hubs, creating a need for condominium and townhome development outside of urban centers that did not exist before,” said Jim Gaines, chief economist with the Real Estate Center at Texas A&M University. “As this growth continues over the next decade, higher density options such as condominiums and townhomes will be essential to maintaining affordability in our cities.”