Texas home sales rose 7.8% in the first quarter of 2016, compared to the same quarter of 2015, and months of inventory fell to an all-time low of 2.8 months, a decline of 0.6 months from the first quarter of 2015, according to the 2016-Q1 Texas Quarterly Housing Report released by the Texas Association of REALTORS®. Home prices also rose, with the median sales price increasing 5.4% year-over-year to $195,000.
“The Texas economy is experiencing a cooling-off period after a five-year boom, so the Texas housing market’s strong gains despite the current uneasiness in the state economy are remarkable,” said Jim Gaines, Ph.D., economist with the Real Estate Center at Texas A&M University. “It will be interesting to see how Texas real estate activity performs in the next two quarters, typically the strongest quarters for home sales every year. That performance will show the full strength of the Texas housing market in 2016.”
TAR Chair Leslie Rouda Smith said Texas continues to be a hub for relocation activity, business development, and job growth. “Despite the economic downturn in some parts of the state, home sales continue to be strong, indicating the enduring demand of Texas real estate.”