Home prices in Texas have never been higher.
The state’s median reached $177,300 in the second quarter, according to the Texas Quarterly Housing Report. That’s up about 10 percent from a year ago.
Sales statewide have spiked too, rising about 18 percent as job growth and still-low interest rates fuel a buying frenzy. Across Texas, 43 of the 47 housing markets tracked showed an increase in sales compared to last year.
“The first half of the summer selling season has been very busy for Texas real estate,” Shad Bogany, chairman of the Texas Association of Realtors, said in a statement. “Demand for homes steadily increased throughout the state, which has prompted competition for properties and is boosting prices.”
“It’s no longer uncommon for buyers to offer bids above listing prices and for sellers to receive multiple offers on a property,” he added.
Houston home sales increased 21 percent while the median rose 11.8 percent, the report said.
Jim Gaines, an economist with the Real Estate Center at Texas A&M University, commented in the statement: “Nationally, home values are increasing at around 10 percent, which is similar to Texas. However, that national trend is being driven primarily by markets that dropped significantly in value during the downturn, so it’s really an ‘echo-boom.’ We didn’t have those big price drops in Texas, so to see 10-percent price increases on top of properties that held more value in recent years means we’re seeing even more significant growth in Texas.”
Gaines said competition for properties is “fierce,” and homes are selling within days, or sometimes even hours.
The Texas Quarterly Housing Report is issued four times per year by the Texas Association of Realtors with Multiple Listing Service data compiled and analyzed by the Real Estate Center at Texas A&M University.