Home sales are up in Houston, and across the country, but most of that growth is in the high-dollar market, homes selling for more than a quarter-million dollars. Sales of cheaper homes are actually lower, says Houston Realtor Michael Weaster.
“A lot of that was caused by these hedge funds that were coming in and buying up this product and using them for rental properties,” Weaster says. “Now, rental rates are going up. Not only can you not afford to buy a house, it's difficult to rent a house.”
He says it’s hard on lower and middle-class buyers. And, the high-dollar homes are selling faster.
“We're absolutely seeing that here in Houston,” he says. “The problem is the lending. It's very hard for lower and middle-class to get loans, so the less-expensive homes are sitting on the market.”