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 21 homes pending, with 6 homes sold in the last two weeks, averaging a sale price of $339 a square foot. Six homes sold over the asking price.
Compared to the two weeks prior: Homes sold are slightly down from 11 sold, but the average sales price is up to $1,002,583 ($609,627 previously). 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 request your free home evaluation here or email us here.
If we look at how fast the move-in-ready (modern) homes are going (must not be overpriced), 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 every neighborhood. 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 Oak Forest.
Insight From Jo
I hope you had a wonderful Thanksgiving and are feeling the joy of the season as we wrap up 2024 and look ahead to an exciting new year. As always, I’m here to keep you informed about what’s happening in the Texas real estate market—and there’s a lot to be optimistic about!
New Construction: The Best Deal of the Season 🏡
If you’ve been waiting for the perfect moment to jump into the market, now might just be your time. New construction homes continue to offer some of the best deals this winter. Builders are highly motivated to sell their current inventory before the year ends, and that motivation works in your favor. Many lenders are sweetening the deal with fantastic incentives, including interest rate buydowns they’ll pay for, making monthly payments more manageable.
Interest Rates: Creative Solutions for Buyers 💡
While interest rates remain in the high 5s and low 6s, don’t let that discourage you! Buydown programs can significantly reduce your rate for the first few years, easing the financial impact of purchasing a home. Plus, with builders and lenders eager to close deals, this is a unique opportunity to snag a home at a great price with some extra perks.
Looking Ahead to 2025: Positive Change on the Horizon 🌟
As we move into 2025, there’s growing optimism about the real estate market. Updates in the political landscape are expected to bring about changes that could benefit buyers and sellers alike. While we can’t predict every twist and turn, the general outlook suggests more stability and opportunities for those entering the market.
If buying or selling a home is part of your 2025 goals, this is the perfect time to start planning. Whether it’s a cozy starter home, an upgrade for a growing family, or an investment property, I’m here to guide you every step of the way.
Here’s to a joyful end to 2024 and a bright start to 2025! As always, reach out with any questions or if you’d like to explore your options and opportunities.
What is happening in the real estate market nationally?
Mortgage rates trended lower last week. Construction spending rose in October, as did job openings. Mortgage application submissions increased last week, the ADP nonfarm employment change was lower than expected in November, and continuing jobless claims fell while initial jobless claims increased. Average hourly earnings and average workweek each saw increases while the unemployment rate ticked up slightly in November. Consumer credit surged in October.
| MORTGAGE RATES CURRENTLY TRENDING | THIS WEEK'S POTENTIAL VOLATILITY |
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Notable News
- Mortgage purchase demand jumped 6% as interest rates fell to the lowest level in over a month. Watch Now >>
- CoreLogic’s Shaleen Khatod on the role of AI in real estate. Listen Now >>
- Will mortgage rates fall below 6% in 2025? Here’s what experts say. Read Now >>
Market Recap
- Construction spending rose 0.4% month-over-month in October.
- Job openings exceeded expectations in October’s Job Openings and Labor Turnover Survey (JOLTS), surging to a level of 7,744,000, surpassing the forecasted 7,510,000.
- Mortgage application submissions increased 2.8% during the week ending 11/29. The Refinance Index decreased 1% from the previous week and was 7% lower than the same week one year ago. The seasonally adjusted Purchase Index increased 6% from one week earlier.
- The ADP employment change in November fell below expectations at 146,000. This is a decline from October’s change of 184,000.
- Continuing jobless claims fell by 25,000, to reach a level of 1,871,000 for the week ending 11/23. This fell below the expected increase of 14,000. Initial jobless claims rose by 9,000, to a level of 224,000 for the week ending 11/30.
- Average hourly earnings increased 0.4% month-over-month in November, and the average workweek rose slightly to 34.3 hours. Government payrolls came in at 33,000 in November, manufacturing payrolls increased by 22,000, and nonfarm payrolls soared to a level of 227,000. This exceeded expectations as nonfarm payrolls were predicted to reach 202,000. The participation rate came in slightly below expectations at 62.5%. Private payrolls came in at 194,000, which also exceeded the forecast of 160,000. The unemployment rate rose slightly to 4.2%, which was in line with expectations.
- Consumer credit surged to a level of 19.24 billion in October, nearly double the predicted reading of 10.10 billion.
Review of Last Week
GOLDILOCKS JOBS… A November jobs report that was neither too hot nor too cold boosted traders' hopes for a rate cut from the Fed next week, sending the S&P 500 and the Nasdaq to new record highs, though the Dow slipped a tick.
November Nonfarm Payrolls grew by 227,000, good but not great, Hourly Earnings gained a tad, but so did the Unemployment Rate, now up to 4.2%. This shows an economy cooling enough to benefit from a rate cut.
More cooling signs came with ISM Manufacturing reporting contraction and ISM Non-Manufacturing showing services expanding at a slower rate. But Factory Orders gained, as did University of Michigan Consumer Sentiment.
The week ended with the Dow down 0.6%, to 44,643; the S&P 500 UP 1.0%, to 6,090; and the Nasdaq UP 3.3%, to 19,860.
Bonds also liked the jobs report, heading up a tick overall while the 30-Year UMBS 5.5% rocketed UP 1.14, to $99.32. The national average 30-year fixed mortgage rate fell to its lowest level in six weeks in Freddie Mac's Primary Mortgage Market Survey. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up-to-the-minute information.
DID YOU KNOW… Home sizes keep trending lower. The National Association of Home Builders reports that in the first quarter this year, the median single-family home was 2,140 square feet, the lowest reading since 2009.
Market Forecast
MORTGAGE APPLICATIONS, INFLATION, JOBLESS CLAIMS… We'll check the MBA Mortgage Applications Index to see if it keeps showing an increase in buyer activity. Economists expect the Consumer Price Index (CPI) to report inflation edged up a tad in November, likewise the Producer Price Index (PPI) of wholesale price inflation. Weekly Initial Unemployment Claims should continue their downward path, as the labor market stays healthy, a good sign for real estate.
Summary
Spending on residential construction rebounded solidly in October and is now above the level of a year ago. It was led by single-family construction spending, up for the month and nicely up from last year.
The Mortgage Bankers Association reported its purchase mortgage applications index shot up 6% from the week before, noting “the purchase index increased for the fourth straight week to its highest level since January 2024.”
The Federal Housing Finance Agency raised 2025 limits for conforming loans to $806,500 for one-unit properties in most areas, and $1,209,750 for high-cost areas, as well as Alaska, Hawaii, Guam, and the U.S. Virgin Islands.
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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