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Houston's April 2008 sales results are out and the Houston market is still fairly stable. For the third month in a row the number of homes sold is less when compared to the number of homes that sold last year. However the actual sales price rose to the highest level ever according to the Houston Association of REALTORS. The average sales price rose by .09 percent to 207,270. In April of last year the average sales price was $205,490. The median sales price maintained at $150,000.
I was a little confused about the difference between the median price and the average price so consulted HAR. The median price is the price that is midway between the least expensive and most expensive home sold in an area during a given period of time. During that time, half the buyers bought homes that cost more than the median price and half bought homes for less than the median price. The average home price is the sum of prices of all homes sold in a certain area in a certain period, divided by the number of properties sold in the same area in that period.
This has been an interesting trend. Our prices are going up but we are not selling as many homes. I personally think this has everything to do with what is going on in the lending industry. It is just harder for people to get loans which correlates in not having as many buyers as we use to have. The days of the 100% loan are almost gone so the buyers need to have at least a little cash to be able to get in to a house.
I think this has to do with the fact that we never saw the huge increases in prices like much of the country; therefore we did not have a bubble to burst. This makes our area a bit of an anomaly compared to the rest of the country. However, there has been a ripple effect. Point in case is the number of homes that have been sold compared to the number sold last year. It is interesting however to see that our prices have really not been affected.
We had some milestones in April. We had the largest number of single family homes sold so far in 2008 with the highest average single family sales price. The sales of single family homes below $80,000 rose by 27.3 percent. The sales of townhouse and condominiums reached the highest level since August with the highest median and average price.
Our HAR chairman, Michael Levitin summed our market up quite nicely so I am going to leave you with his words.
"Coming off of two consecutive record years, the Houston real estate market is demonstrating relative 
stability while other cities continue to suffer dramatic declines in both sales and pricing," said Michael Levitin, HAR chairman. "We avoided a bubble thanks to Houston's history of moderate growth in home values. The healthy local job market and diverse economy have created dynamics that are conducive to a faster recovery and we anticipate conditions to improve in the second half of the year."
If you are considering a move to the Houston Northwest area or the surrounding areas of Spring, Tomball, Magnolia or The Woodlands please give me a call or visit my website.
For all your Northwest Houston Real Estate needs, contact me today!
Marchel Peterson
Results Realty
Cell: 832-721-8332
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Nice post Marchel! If you haven't done so already you should have your graphic in the bottom right made into a postcard...it's charming!
Marchel: I am sure a large part of why sellers in Spring, Texas are seeing an increase in their prices is because of the expertise of one certain agent with Results Realty. I think her name is Marchel Peterson
Marchel - A very informative report. I like the way you explained the median price for the consumer. Yes there is a co-relationship with the number of sales and the mortgage situation.
MARY,Isn't that graphic gorgeous. I subscribe to real estate clip art and I got it from there. You are right it would make a gorgeous postcard.
KAREN ANNE, that is so sweet!! I am excited that our prices are still going up.
JENNIFER, I can't take credit for the median price explanation. I called our local association to ask them the difference and a kind gentleman emailed it to me and told me I could use it in my post as he sent it. I figured if I was confused as to the difference between the two then there were other people that were also.
Hi Marchel... Great information and explanation! It's nice to know what's going on to the South of us here in Dallas! Thanks for sharing!
Marchel - it is amazing we are seeing some strange facts here - not so much higher but sales prices average 97% of the list price
Marchel: It takes no more effort to be positive, and it is much more fun to be positive. Take care...
Marchel, the same is holding true here in the Fort Worth area as well. BTW, I love the way your new blog design is working out..it looks great and your graphics are wonderful!
Hi Marchel,
That is interesting fact about the houses in your area. Our area is doing better than many but we're still slow and the prices have dropped. The one market which has remained strong is the $150,000 and under, there are just not many houses in that price range.
Marchel, we're seeing the same thing here, at least in town. The suburbs, especially Northern Virginia, are a different story.
Marchel, great news. I am so glad you are giving a positive to the market. We are pretty flat but at least we are not loosing value.
So glad to hear about the sales in your area. I always look forward to hearing the good, much more than the bad. Thanks for sharing as always. Lu
Marchel - I am glad to hear that your market is still strong especially considering the amount of military personel in your area. Those families need a break with the added pressures they have to endure. Nice post. Happy selling.
STEVE, I think all of us in Texas have a similar story. I was excited to see that the price went up.
THESA, It is some strange statistics isn't it? I'm just glad to see an increase.
KAREN ANN, My Mother ingrained in me "if you can't say something nice don't say anything at all. I don't always follow that rule but I follow it more than I don't follow it.
LINDA, Thanks! When I get the time I need to work some on my blog design though. I have some wording that gets cut off and I need to get it straightened out.
CYNTHIA, I was surprised that our market that is below $80,000 rose so much. There's really not much in that price range.
PATRICIA, I could see where your prices would remain fairly stable. I expect you see a big shift every 4 years; well maybe sometimes 8 years.
BECKY, I think in this market flat is good.
LU, I was excited when I saw the stats. It is always more fun to share the good news.
JUDY, We actually don't have much military around here. You might be thinking of San Antonio; they have a lot. I am glad that our market is doing so well though. We had our big oil bust back in the mid 1980's.
Marchel, our North Texas market stats sound similar to Houston, somewhat rising prices with lower sales year over year. Texas as a state just did not experience that big surge up in prices like other areas of the country.
Marchel: Per your comment to Linda. Your wording is just fine when I open this blog post and it only covers perhaps two thirds or three quarters of my monitor screen... but when I click and make it totally full screen, the proportions get out of whack. But... I find that true for many of the newly-redesigned blogs. I have no clue how to fix it. Best of luck.,..
Marchel, cool looking market report...how did you do the round pictures? L
Marchel: I was going to ask you about your oval-shaped pictures, too. They look great. How did you do that ? Such an inventive person. :)
I'm very glad that home prices are stable (or growing at a reasonable rate). How's affordability? I hope that's good, too...then prices will remain stable.
I posted links to the HART and Nehemiah programs in response to your comment on my blog. There's no end in sight for these programs now that the courts upheld their availability with FHA financing.
So, as long as your sellers are willing to contribute, 100% is still around for low-cash buyers.
JOEY, I just heard that we are supposed to be one of the most affordable places in the nation. Thanks for posting the links to the Hart and Nehemiah. I will check them out. So even thought it is FHA they aren't required to put 2.7% or whatever that figure was down.
JOEY, I just heard that we are supposed to be one of the most affordable places in the nation. Thanks for posting the links to the Hart and Nehemiah. I will check them out. So even thought it is FHA they aren't required to put 2.7% or whatever that figure was down.