Texas home sales of $1 million and higher grew 19.1% to become the fastest-growing segment of the housing market in 2017, according to the Texas Luxury Home Sales Report released today by the Texas REALTORS®.
The 4,622 luxury home sales between November 2016 and October 2017 represent more than $7.5 billion in total dollar volume, a 19.9% increase year over year.
“Despite slowing growth trends across the Texas housing market, job market, and economy in 2017, Texas luxury home sales volume has continued to grow at a booming pace,” said Vicki Fullerton, chairman of the Texas REALTORS®. “Rising home prices, high-end remodeling activity in major metro areas, and relocation activity from out-of-state residents all continue to be drivers for Texas home sales of $1 million and higher.”
The median price for Texas luxury homes over the first 10 months of 2017 was $1.35 million, unchanged from the same period in 2016. The statewide average price per square foot for luxury homes increased 1.9% to $349.
“Signs of a softening housing market are historically first seen among luxury price classes, but there’s been no such evidence of a softening market among Texas luxury home sales this year,” Fullerton said. “Slowing luxury home price appreciation in Texas, however, could indicate that home price growth among the Texas housing market at large could begin to normalize in 2018, which would help curb growing housing affordability challenges throughout the state.”