The pace of Texas housing sales “inched down” after April’s record-breaking numbers but experienced an upward track in May 2019 that resulted in near record levels in all of the major metros, according to the Real Estate Center at Texas A&M University’s Texas Housing Insight report. The monthly sales numbers maintained the growth the Texas metros experienced in the first quarter of 2019.
Year to date, Austin and San Antonio have both topped a 10 percent increase in home sales, while Dallas sales have grown by 11.9 percent, Fort Worth by 7.3 percent, and Houston by 7.6 percent.
The median home price for Texas grew at 2.3 percent, more modest compared to recent double-digit growth levels, and “dipped below $236,500” in May 2019. The median home prices in Texas are still lower than the national medians: $14,500 lower for new construction and $41,400 lower for existing homes.
The Texas Repeat Sales Index, which monitors home appreciation, showed the Austin index increased 3.4 percent to a record level of $317,200. The San Antonio index increased 4.7 percent to a median of $226,300. Fort Worth increased to a median of $238,800, with a similar increase. Dallas experienced a 1.8 percent increase in its index, with a median of $287,000, and Houston experienced a 2.2 percent increase to a median of $239,700.
After a pullback in the second half of 2018, new construction permits in Texas increased for the fifth consecutive month. Texas led the nation with permits (10,946) and accounted for 16 percent of the nationwide total. Austin permits increased 12 percent year over year, with over 1,700 permits issued in May 2019.
The report stated that lower mortgage rates are helping to stimulate purchasing activity.