Below is the data for the first quarter market update in Texas. You’ll find price distribution, median sales price, the number of active listings, days on market, closed sales, and months of inventory.
At Round Top Real Estate, our agents mainly focus on serving five Counties: Austin, Colorado, Fayette, Lee & Washington, and each area has its own characteristics. As a whole, Texas has continued to surpass last year’s market.
First Quarter Market Update: Median Price
The median house price is $325,000, up 18.6% from last year. This number has steadily increased each month: $312,000 in January, $325,000 in February, and $335,000 in March.
This is due to several factors, most of which falls back to the price of materials and housing shortage.
On the plus side, you can thank historically-low mortgage rates for the increase in home buyers.
First Quarter Market Update: Price Distribution
During the first three months of 2022, a majority of homes fell into the $200,000 – $299,000 price category, followed closely by $300,000 – $399,000.
Comparatively, the least number of homes were under $99,000 and over $750,000.
First Quarter Market Update: Active Listings
The number of active listings is down overall for the first quarter. January and February saw the biggest change compared to last year, at 22% and 17.1% respectively.
One reason for this could be because less people are able to find homes in such a competitive market, thus aren’t listing their home.
First Quarter Market Update: Closed Sales
Although the percentage of closed sales is seemingly low – 5.6% overall for the first quarter – all three months saw an increase compared to 2021.
February saw the greatest increase at 14.2%. There isn’t a for sure reason on why this is, but perhaps it is because in this competitive market buyers no longer have the leisure to wait around.
It is common for home sellers to list at the start of the year; they are ready to start fresh. Buyers pounced on homes as soon as they hit the market in January, leading to an increase in closed home sales 30-45 days later…February.
First Quarter Market Update: Days on the Market
It’s no surprise homes are on the market for a shorter duration than before. On average, homes were on the market 78 days for the first quarter of 2022. This is down 10 days from 2021’s first quarter.
As we’ve mentioned time and time again, home buyers aren’t playing around anymore! It’s a hot market and many properties are seeing multiple offers right off the bat.
First Quarter Market Update: Months of Inventory
Months of inventory is found by dividing the total number of homes sold during a particular month by the total number of properties available for sale on the last day of the month. If this is still a little confusing, let’s let the Real Estate Center at Texas A&M break it down:
“The result indicates the number of months it would take to sell all properties currently for sale at the average monthly sales pace. If inventory levels are around 6.5 months, there is a balanced housing market.”
Texas is currently looking at Months of Inventory to be 1.1…not quite balanced, eh?
Texas Housing Report
The Texas housing market is something to behold. Properties are being bought left and right and appraisals are meaning less and less. Who knows what will happen the remainder of the year? Economists are predicting the housing surge will slow down a bit over the next few months with rising interest rates, however the housing shortage is here to stay.
Are you planning on buying a home this year? Have you been a seller recently and experienced a multiple-offer situation? Drop a comment below and let us know!