Hi neighbor, Today I will be sharing with you our perspective on the local real estate market here in Houston, Texas, specifically a market update for the neighborhood of Oak Forest. Whether you are looking to buy, sell, or just keep an eye on the market, we look forward to being your resource.
What is happening in the real estate market in Oak Forest?
We currently have 25 homes pending, with 13 homes sold in the last two weeks, averaging a sale price of $306 a square foot. Thirteen homes sold over the asking price, with one home selling 20% above the listing price. Compared to the two weeks prior: Homes sold are up from 8 sold to 13 sold, with the average sales price up: $735,335 ($727,375 previously). However, if we look at how fast the move-in-ready homes are going, the supply in this area has not surpassed the demand, making it still a great time to sell.
We cannot pinpoint another time in history where you were almost guaranteed to get over the current market value for your home. Buyer agents around Houston are seeing a slow in the real estate market, but it isn’t affecting the neighborhoods with such high demand, like Oak Forest, so that is good news for anyone that waited until summer to sell.
I know the interest rates rising has been one deterrent from some buyers purchasing right now, but that isn’t your ideal buyer anyways! And the educated buyer still knows, they need to buy ASAP. P.S. The median days on market is 4 days, with most homes selling during the first 2-3 days (aka a really good coming soon campaign as we do at Jo & Co. boosts that, and your over-asking price ratio!)
Check out the graphic below for a larger overview of the real estate market for the last two weeks in Oak Forest.
What is happening in the real estate market nationally?
Last week, mortgage rates trended slightly lower. Home builder confidence decreased in July according to the National Association of Home Builders (NAHB) housing market sentiment index. Housing starts and building permits slowed in June. Mortgage application submissions fell two weeks ago, and existing home sales fell in June. Both continuing and initial jobless claims increased slightly.
|MORTGAGE RATES CURRENTLY TRENDING||THIS WEEK'S POTENTIAL VOLATILITY|
- Price cuts are increasing, giving home buyers hope for lower purchase prices. Watch Now >>
- High inflation is actually helping some homeowners. Read Now >>
- Bidding wars are dissipating, helping more buyers purchase homes without excessive offers over sales prices. Read Now >>
- In July, home builder confidence on the NAHB housing market sentiment index dropped to a level of 55 as higher interest rates and inflation levels have slowed sales and demand.
- Building permits fell 0.6% month-over-month in June, down to a seasonally adjusted annual rate of 1.69 million. Housing starts fell 2% month-over-month, down to a seasonally adjusted annual rate of 1.56 million.
- Mortgage application submissions decreased 6.3% during the week ending 7/15. Refinance application submissions fell 4% while purchase application submissions fell 7%.
- Existing home sales dropped 5.4% month-over-month in June, down to a seasonally adjusted annual rate of 5.12 million.
- Continuing jobless claims increased slightly to 1.38 million during the week ending 7/9. Initial jobless claims also increased during the following week, up to 251,000.
Review of Last Week
WHAT RECESSION?… Ignoring signs of a slowing economy and another big rate hike from the Fed coming this Wednesday, investors sent the three major stock indexes to strong gains for the week.
In addition to the disappointing housing data, initial jobless claims topped 250,000, the Leading Economic Index dropped for the fourth month in a row, and a preliminary July read showed the services sector contracting.
Some analysts feel this bad news has already been priced into the market. Plus, with about a fifth of the S&P 500 reporting Q2 earnings, profit growth has exceeded expectations by roughly 4%. Not bad.
The week ended with the Dow UP 2.0%, to 31,900; the S&P 500 UP 2.6%, to 3,962; and the Nasdaq UP 3.3%, to 11,834.
Bonds advanced as well, the 30-year UMBS 5.0% UP 0.10, to $101.29. In Freddie Mac's Primary Mortgage Market Survey, the national average 30-year fixed mortgage rate inched up. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up-to-the-minute information.
DID YOU KNOW… Freddie Mac reports, “Consumer concerns about rising rates, inflation and a potential recession are manifesting in softening demand. As a result of these factors, we expect house price appreciation to moderate noticeably.”
NEW AND PENDING HOME SALES DOWN, INFLATION AND THE FED RATE UP… This data-packed week includes June New Home Sales and Pending Home Sales, both forecast down. Inflation is expected up by the PCE Prices measure the Fed likes. Consequently, the Fed's FOMC Rate Decision on Wednesday should see their rate rise another 0.75%.
Existing Home Sales were off 5.4% in June, blamed on falling affordability. Yet 88% of the homes sold were listed less than a month. Good to see inventory rising relatively rapidly, up 2.4% from a year ago.
Housing Starts slipped 2.0% in June, all due to single-families, down 15.7% the past year. But the slowdown makes sense, as homes already under construction sit at the highest level on record back to 1970.
The NAHB index of builder sentiment posted its largest monthly decline since early in the pandemic, dropping from 67 in June to 55 in July. Builders worry mortgage rates are temporarily pricing some buyers out of the market.
Can we sell yours?
So if you are in need of a listing agent, we would love the opportunity to see your home and meet you of course. My husband, Edward, and I, look forward to being the brokerage and team for you! You can reach out to us via email: [email protected] & [email protected] or telephone: 832-493-6685.
If you are curious ‘How to get more money for your home when listing it for sale', check out this blog post.
I hope you have found this blog post super helpful. If there is anything else we can do for you, including helping you sell (or buy) a home, I would be honored to assist. I hope you have a great day/evening. Cheers, E + J.
We are so happy you found our little corner of the interwebs. We look forward to y'all reaching out to us. We love to answer questions and welcome them. Recently we created some local maps, and you can download those by clicking the image/link above. Below, you will find an index of some very helpful information to assist you in learning more about the Houston suburbs. If you are relocating to our neck of the woods, we hope you reach out to us, because we would love to help you by being your local realtor and friend. Thoughtfully written for you. Hugs, Jo.
We are Waiting for You
If you are looking to relocate to the Houston Area, we would love to meet you, and hear your story. Below you will find all of my contact information, as well as some homes for sale in the area. We truly look forward to hearing from you! P.S. Don't forget to check out our YouTube Channel!
If you are overwhelmed..
Now if you are feeling overwhelmed on where you should plant your roots, I would love to talk to you. You can schedule a call with me by click this link: http://byjoandco.com/call or just send us an email: [email protected]. There are some amazing communities all over the Houston suburbs. In this post, https://search.byjoandco.com/blog/best-neighborhoods-in-houston/, I deep dive into all the different suburbs/neighborhoods that you might want to consider, and why. There are many resources here, so please reach out if you are curious what to look at next! Thank you for trusting us.
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