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 77388 Zip Code. 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 77388?
We currently have 4 homes pending, with 2 homes sold in the last two weeks, averaging a sale price of $124 a square foot. Two homes sold over the asking price.
Compared to the two weeks prior: Homes sold are slightly down from 3 sold, and the average sales price is down as well. This is most likely a coincidence, so we will be sure to keep an eye on it over the next couple of weeks. Every home is different, with different features, so don’t forget to ask us for your annual equity review if you are curious about your personal home. You can text AER to 79564 or email us here.
If we look at how fast the move-in-ready homes are going, the demand in this area has not surpassed the supply, making it still a great time to sell. Buyer agents around Houston are seeing a slow in the real estate market, but it isn’t affecting the neighborhoods. I know the interest rates rising has been one deterrent from some buyers purchasing right now, but that isn’t your ideal buyer anyways!
The most desirable homes in the area are still selling the first weekend or first week they hit the market (a really good coming soon campaign, like we do at Jo & Co. allows you to sell faster, for more money).
Check out the graphic below for a larger overview of the real estate market for the last two weeks in 77388.
Jo's Two Cents
What is happening in the real estate market nationally?
Mortgage rates trended higher last week after some stronger-than-expected economic reports. Existing home sales fell in January and mortgage application submissions decreased. Jobless claims fell as well, as did the fourth-quarter GDP estimate for 2022. The main even of the week, the core PCE index, showed higher-than-anticipated inflation levels in January.
| MORTGAGE RATES CURRENTLY TRENDING | THIS WEEK'S POTENTIAL VOLATILITY |
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Notable News
- Strong home sales show that people still believe in the home buying process. Watch Now >>
- The housing market is looking healthier. Listen Now >>
- Housing investor says we’re entering the ‘best real estate market since 2008. Read Now >>
Market Recap
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Existing home sales slipped 0.7% month-over-month in January despite the expected increase. In better news, existing home inventory grew by 2.1% from December and 15.3% annually to reach the equivalent of 2.9 months’ supply at the current monthly sales pace.
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Mortgage application submissions slipped a composite 13.3% during the week ending 2/17. The Refinance Index fell by 2% while the Purchase Index fell by 18%.
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Continuing jobless claims dropped by roughly 40,000 during the week ending 2/11. Initial jobless claims dropped by 3,000. Both were expected to increase.
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The GDP estimate for Q4 of 2022 decreased from 3.2% to 2.7%.
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The Federal Reserve’s preferred method of measuring inflation, the core PCE index, climbed higher than expected in January, up 0.6%. Annually, the core index rose to 4.7%, also exceeding expectations. On the other hand, personal income fell below expectations at 0.6%. Consumer spending soared 1.8% following December’s 0.1% decrease.
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New home sales surged to a 10-month high in January, rising beyond their expected gain of 620,000 to a level of 670,000.
Review of Last Week
INFLATION DEFLATION… The stock markets tanked again as investors reacted poorly to hotter than expected inflation data indicating the Fed would push rates higher and keep them there longer than once expected.
PCE Prices, the Fed's favorite inflation measure, went up 0.6% in January, rising to a 5.4% annual rate, further away from the 2% target. It didn't help that consumer income and spending gains don't show a cooling economy.
On a positive note, the St. Louis Fed President remarked, “it appears that the Fed may be able to disinflate in an orderly manner and achieve a relatively soft landing,” meaning no recession. Let's hope so.
The week ended with the Dow down 3.0%, to 32,817, the S&P 500 down 2.7%, to 3,970, and the Nasdaq down 3.3%, to 11,395.
Inflation-hating bonds also declined overall, the UMBS 5.5% dropping .87, to $99.21. Freddie Mac's Primary Mortgage Market Survey reported an uptick in the national average 30-year fixed mortgage rate. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up-to-the-minute information.
DID YOU KNOW… More home shoppers are on the move. Realtor.com reports that in the last three months of 2022, 55.5% of all listing page views in the top 100 metros were for homes outside the area where the shoppers lived.
Market Forecast
PENDING HOME SALES, CONSTRUCTION SPENDING, MANUFACTURING, SERVICES… The January Pending Home Sales index of signed contracts on existing homes should be up, indicating sales gains going forward. Construction Spending is also forecast up overall, but we'll see about the residential part. ISM Manufacturing is expected to remain in contraction territory, though ISM Non-Manufacturing is predicted to show the far larger services sector expanding.
Summary
New Home Sales jumped 7.2% in January, up for the second month in a row. Even better, the median price is below a year ago and inventories have made big gains, reaching a 7.9-month supply, giving buyers more options.
Existing Home Sales slipped 0.7% in January, but good news came with the annual median price gain falling for the seventh straight month, now just 1.3% up from a year ago. Plus, listings rose and are up 15.3% from a year ago.
January’s dip was the smallest in a year, prompting the NAR to observe, “Home sales are bottoming out…with lower-priced regions witnessing modest growth and more expensive regions experiencing declines.”
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.
Read more:
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.
What next?!
• Navigate our Blog: https://byjoandco.com/categories-to-help-you-navigate-the-blog/
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• Download our Where to Live in Houston Texas ebook! http://byjoandco.com/wheretoliveebook.
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