The uncertainty about the housing market caused by Hurricane Harvey, while not completely gone, has at least settled down here in The Woodlands and surrounding communities. The outlook for the fall and winter seasons is cautiously-optimistic, with several key indicators pointing in the right direction. Read on for a synopsis.
Inventory is still playing catch up. Just before Hurricane Harvey hit, the housing inventory supply (measured in months) was at its peak on the year at 4.3 months. For October, that number dropped down to 3.9 months in the overall Houston market. This means that there are homes out there for sale, which can help attract business and families to our area. Many homes were pulled from the market due to flood damage. This, and construction delays on new homes, are what caused the drop in inventory. Experts expect inventory to continue to catch up over the next few months, because demand has not decreased.
Home prices are rising. Record high home prices for a month of October were reached this year, with single-family home prices increasing by almost four percent. According to real estate research group Metrostudy Houston, sellers in non-flooded areas seem to be displaying common decency by not trying to capitalize on the situation and keeping their homes priced near pre-Harvey market value.
Housing will rebound. As the October numbers come in, we can see that year-over-year single-family home sales remain ahead of 2016 by almost three percent. While the storm cancelled out the 10-month growth streak, in the aftermath things are picking back up to stay on pace to beat last year’s sales volume. Metrostudy Houston believes that the region received such positive national publicity, even in the wake of the storm, that our population will continue to grow at the same pace it has for the past two decades.