***This market report was updated on 07/15/2020***
Over the past couple of weeks, Houston Covid-19 cases in the area have spiked. However, you wouldn’t be able to tell by looking at the most recent pending home sales. According to HAR-MLS data for Harris County, pending sales over the past 4 weeks are actually up 7% from the 4 weeks preceding. Furthermore, pending sales are now statistically flat for the same period in 2019 versus 2020. That’s quite a rebound after the sharp drop we experienced in March and April.
Some segments of the economy have been slower to rebound, specifically the luxury home market (homes listed at $750K or more). However, the past 4 weeks have seen a 27% increase in pending sales over the previous 4 week period. Year to date, we are less than 4% down on the year.
The rising demand continues to be driven by historically low-interest rates. As of this writing, according to Mortgage News Daily, mortgage rates are near 52-week lows. That puts them at or near historic lows.
Furthermore, Oil prices have held steady around $40 per barrel for the past few weeks. As the Energy Capital of the World, Houston is particularly sensitive to changes in oil price movements. The increased stability in prices certainly improves the outlook for energy industry workers.
How long will this rebound continue? That’s anyone’s guess. However, it appears to be a good time for both buyers and sellers to consider their options. Buyers are finding great rates and sellers are finding buyers.
If you are considering buying or selling a home in 2020, we would recommend that you enlist the advice of a local professional who serves your specific market. Every market will be impacted differently during uncertain times and there is never a one size fits all model in real estate. The solution that best fits your cousin in New York City is not necessarily the best one for you down here in H-Town. Or for that matter, the solution that best fits a home seller in Sugar Land is not necessarily the best one that fits a home seller in the Heights.
If you would like to talk to an agent about your specific situation, Feel free to give us a call at 713-869-5700 or fill out the form below and we will match you with an agent.
**Pending sales will change over time as some contracts fall out or do not get to closing.