The Houston housing market recorded its tenth consecutive month of positive sales in March despite record-low inventory.
Single-family home sales jumped 24.4 percent year over year to 9.347, the Houston Association of Realtors reported. Total property sales for the month saw a 31.5 percent year over year increase to 11,692. All-in-all, total dollar volume for the month surged 55.8 percent to $4 billion.
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High-end home shopping dominated the market in March. The housing segments priced at or above $250,000 saw a double-digit year over year percentage increase in sales in March: The luxury segment, homes priced at or above $750,000, saw an 89.9 percent increase in sales; Homes priced $500,000-$749,999 saw a 96.8 percent increase; and homes priced $250,000 -$499,999 saw a 50.7 percent increase.
Both the average and the median sales price for a single-family home in March increased -- The average sales price rose 19.9 percent to $370,847, and the median sales price jumped 16.0 percent to $290,000.
Meanwhile, market supply did not keep pace with demand. Single-family home inventory in March 2021 plunged to a record-low 1.4-months supply, down from a 3.4 month supply in March 2020. Months of inventory estimates the number of months it would take to sell all the active home listings on the market today based on the pace of sales over the past year. Comparatively, the nation’s overall housing inventory currently stands at a low 2-months supply, according to the latest National Association of Realtors report.
In March, Houston homes spent an average of 45 days on the market, a 20 day decrease from March 2020.
“Several overlapping market forces propelled us to a strong finish in March, between a lack of low-to-mid-range housing and aggressive high-end buyingby consumers taking advantage of historically low interest rates,” said HAR Chairman Richard Mirandawith Keller Williams Platinum. “The inventory shortage is causing stress for many folks. Hopefully we begin to see an uptick in new listings sooner than later.”