Texas home prices hit all-time high, home sales rise in second quarter of 2015
Texas Association of REALTORS® releases 2015-Q2 edition of the Texas Quarterly Housing Report
FOR IMMEDIATE RELEASE—
CONTACT: Danielle Urban - Pierpont Communications, 512-448-4950
Aug 03 2015 — Austin
Texas home prices hit an all-time high in the second quarter of 2015, while home sales remained strong amid high demand, according to the 2015-Q2 Texas Quarterly Housing Report released today by the Texas Association of REALTORS®.
“The impact of lower oil prices continues to be delayed, leading to a surprisingly strong second quarter. In fact, Texas home sales are actually stronger than they were this time last year, when oil prices were nearly $100 a barrel,” said Scott Kesner, chairman of the Texas Association of REALTORS®. “This is further evidence of the strong and enduring demand for Texas real estate.”
According to the report, Texas home sales increased 46.3% from 2015-Q1 and 4.7% year-over-year to 88,906 home sales.
During the same time frame, the median price for Texas homes increased 8.1% from 2014-Q2 to $200,000 and average price increased 9% year-over-year to $258,786. This is the first time the median price for Texas homes has risen to $200,000 and an all-time high for Texas home prices.
Monthly housing inventory continued to decline, falling 9.2% year-over-year to 3.8 months. Inventory is still firmly within a seller’s market, as the Real Estate Center at Texas A&M University estimates that a monthly housing inventory of 6.5 months is a level at which supply and demand for homes is balanced.
Jim Gaines, Ph.D., economist with the Real Estate Center at Texas A&M University, explained, “Despite expected negative impacts from the decline in the oil price and rig counts, both existing housing development and new single-family home sales continue to be strong. While a down oil and gas market makes it difficult to forecast Texas real estate for the rest of the year, preliminary numbers indicate a positive for the third quarter of 2015. Additionally, the expectation of rising interest rates in the near future could be stimulating demand as well.”
Chairman Kesner concluded, “As home prices continue to rise, housing affordability could become a greater issue across the state. The Texas Association of REALTORS® is committed to keeping homeownership affordable and fully supports the property tax exemption increase and the permanent ban on a real estate transfer tax proposed in Proposition 1.”
About the Texas Quarterly Housing Report
Data for the Texas Quarterly Housing Report is provided by the Data Relevance Project, a partnership among local REALTOR® associations and their MLSs, the Real Estate Center at Texas A&M University, and the Texas Association of REALTORS®. The report provides quarterly real estate sales data from a statewide perspective and for 25 metropolitan statistical areas in Texas. It is scheduled for release by the Texas Association of REALTORS® on the following dates each year (or the next business day): Feb. 1, May 1, Aug. 1, and Nov. 1. To view the report in its entirety, visit texasrealestate.com.
About the Texas Association of REALTORS®
With more than 110,000 members, the Texas Association of REALTORS® is a professional membership organization that represents all aspects of real estate in Texas. We advocate on behalf of Texas REALTORS® and private-property owners to keep homeownership affordable, protect private-property rights, and promote public policies that benefit homeowners. Visit texasrealestate.com to learn more.