Texas real estate market finishes strong in 2012; consumer expectations rising for 2013
Texas Association of Realtors releases 2012-Q4 edition of the Texas Quarterly Housing Report
AUSTIN, Texas, Feb. 1, 2013 /PRNewswire-USNewswire/ -- As a capstone to a year of accelerating momentum in Texas real estate, the fourth quarter of 2012 featured the strongest increases in sales volume and price for single-family homes in Texas seen last year, according to the Texas Association of Realtors.
Citing results published in the 2012-Q4 edition of the Texas Quarterly Housing Report issued today, the report shows increasing demand for Texas homes coupled with decreasing inventory, leading to rising prices and improving confidence among homeowners.
Shad Bogany, chairman of the Texas Association of Realtors, commented on the results, "Texas Realtors saw a marked increase in the pace of home sales as 2012 came to a close and homeowners are expressing a lot of enthusiasm about 2013."
As featured in the report, 56,488 single-family homes were sold in Texas in the fourth quarter of 2012, which is 19.82 percent more than the same quarter of the prior year. In addition, the median price was $159,200, which is 7.42 percent more than 2011-Q4. Those are the highest figures for sales volume and price seen in a fourth quarter in Texas since the association began issuing the Texas Quarterly Housing Report in 2009.
"This positive performance is evidence of a true rebound in Texas real estate that reaches broadly around the state," said Jim Gaines, Ph.D., economist with the Real Estate Center at Texas A&M University. "We're moving briskly down the road to recovery, thanks to positive economic activity in Texas and improvements in the attitudes homeowners have about the market. Looking ahead, I expect to see that confidence inspire more buyers and sellers to jump off the fence and into the market this year."
The fourth quarter of 2012 also marked the sixth quarter of decreasing inventory for the Texas real estate market, which is an indicator of the balance between supply and demand for homes. The market featured 4.6 months of inventory in 2012-Q4, which is 1.8 months less than the same quarter of the prior year. In comparison, the Real Estate Center cites 6.5 months of inventory as a market in which demand is balanced with supply.
Gaines explained, "Over the last year-and-a-half, we've seen steadily increasing demand for homes, but falling numbers of listings. That has caused the inventory of homes to shrink and prices to begin rising. Those price increases could give sellers confidence, spurring them to consider listing their homes in 2013."
Chairman Bogany continued, "These strong results show that we've been successful making Texas a great place to own a home. Now, we must help homeowners protect their investments by preparing for the growth of our state. That means securing adequate water supplies, investing in our roads and adding capacity for energy from diverse sources. Fortunately, Texas Realtors are on the case this Legislative session, advocating on behalf of private property owners all over the state."
The Texas Quarterly Housing Report is issued four times per year by the Texas Association of Realtors with multiple listing service data compiled and analyzed by the Real Estate Center at Texas A&M University. To view the report for 2012-Q4 in its entirety, visit www.TexasRealEstate.com.
About the Texas Quarterly Housing Report
Data for the Texas Quarterly Housing Report is analyzed by the Real Estate Center at Texas A&M University using statistics compiled from 48 multiple listing services in markets throughout Texas. The report includes data for single-family home sales over the course of one quarter and is scheduled for release by the Texas Association of Realtors on the following dates each year (or the next business day): Feb. 1, May 1, Aug. 1 and Nov. 1.
About the Texas Association of REALTORS®
With approximately 80,000 members, the Texas Association of REALTORS® is a professional membership organization that represents all aspects of real estate in Texas. We advocate on behalf of Texas REALTORS® and private-property owners to keep homeownership affordable, protect private-property rights, and promote public policies that benefit homeowners. Visit TexasRealEstate.com to learn more.
SOURCE Texas Association of Realtors