Houston luxury home sales jumped 34% in April

After a decline in March, Houston home sales rebounded 9.2 percent in April as the spring home buying season hit Houston a few weeks later than expected.

Home sales in Houston saw a 7.5 percent year-over-year decline in March, according to the Houston Association of Realtors (HAR), worrying some industry experts who anticipated a sharp rise in sales in start of the spring home buying season. The season is typically the biggest event of the year, beginning in mid-February and reaching its peak in March and April, as buyers attempt to secure a property ahead of the summer season.

However, the recently released April sales figures have likely allayed any concerns. The Houston Multiple Listing Service (MLS) recorded sales of 7,926 units compared to 7,256 in April 2023. Housing inventories also reached pre-pandemic levels, increasing from one in 2.6 units of housing supply to 3.7 months, which is the highest since October. 2019 when there was a 3.8 month supply, according to a press release.

The market recorded healthy sales across all segments, with the luxury market performing particularly strongly in April. The high-end market represents homes selling for $1 million or more and makes up about 4.8% of all homes on the market. Sales jumped 33.8 percent in this small segment, according to the HAR report.

“The spring home buying season appears to be blossoming later than usual this year,” HAR President Thomas Mouton of Century 21 Exclusive Properties said in a press release. “While high interest rates continue to be a factor, April’s rebound in home sales shows buyers are adapting to new market realities and sellers are finding opportunities as inventory levels rise. are increasing.”

The increase in sales could be due to the rapid growth of suburbs outside the city, in places like Conroe and other areas north of the city. Another report also from HAR documented the flight to suburbs that are increasingly distant from the city center, as consumers seek to acquire the cheapest home and spacious new construction.

But sales aren’t the only thing increasing. The average price of a home in Houston increased 4.6 percent to $437,198 in April. This is the second highest price right after the all-time high price of $438,350 reached in May 2022.