The local housing market is still hot, as people are paying sky-high prices amid a declining number of available homes.
Houston remains a seller's market. The median list price is $405,000. However, the market across much of the nation is starting to cool. A new report from Moody’s Analytics indicates housing prices could drop by 10% in many U.S. cities over the next year. According to the survey, two of the most overvalued regions where home prices are expected to drop dramatically include Boise, ID and the Sherman-Denison area in North Texas. Real estate expert Mark Johnson says that’s no likely to happen in Houston due to strong demand.
“Number one: people want to live in Texas,” Johnson explained. “Two, millennials are attracted to our state. They want to live in great cities like Houston and all the cities around it. We’re also very attractive to baby boomers.”
He says Houston is not immune to rising mortgage rates, but he believes the state's strong economy will continue to attract potential homeowners.