What can you expect from our Houston market as we move further along in 2019?
Last year was a record year on paper, but not everyone felt that success because of the size and scope of the Houston market. In some areas, many people spent most of the year trying to recover from Hurricane Harvey and the flood. In other areas, prices kept soaring and inventory kept getting pulled off the market.
Last week, I was able to attend a speaking event headlined by Ted Jones, the Chief Economist at Stewart Title. I’ve been attending his speaking events for the past few years, and his market predictions are typically spot on. In forecasting our 2019 market, his main point was that our economy and real estate market live and die by our job market.
“All in all, I expect a good year from our market, and I look forward to it.”
Right now, the Houston real estate market is strong because there are a lot of high-paying jobs, so all price points should see a steady increase throughout the rest of the year. Again, though, this can depend on what area you live in.
Year to date, our job growth has climbed at a rate of 3.8%, and we’ve seen a net growth of 114,000 jobs. Between 2017 and 2018, the market grew at a rate of 3.7%, which is a pretty good pace. The craziest pace was between the $500,000 and $800,000 range, which grew by almost 10%. Below $500,000, the market grew at a rate of 3.2%. Above $1 million, the market grew by 3.9%.
As 2019 progresses, inventory in the areas most affected by Hurricane Harvey should start to decrease. All in all, I am looking forward to a good year from our market.
If you have any more questions about what lies ahead in our Houston market, don’t hesitate to reach out to me. I’d be happy to help you.