HOUSTON HAR Report— (February 14, 2024) — Fresh on the heels of the holidays and despite lingering consumer concerns about elevated mortgage interest rates, the Houston real estate market achieved an unexpectedly strong start to 2024.
According to the Houston Association of Realtors’ (HAR) January 2024 Market Update, single-family home sales across Greater Houston rose 9.0 percent. That is only the second increase in two years. The first was in November 2023 when sales were up 5.4 percent. The Houston Multiple Listing Service (MLS) recorded sales of 5,009 units compared to 4,595 in January 2023. Months supply of homes edged up from 2.6 to 3.3.
Only homes priced below $150,000 saw declines during the month, however that segment comprises just 1.5 percent of the overall market. The best performing segment consisted of homes priced between $500,000 and $1 million which jumped 16.7 percent year-over-year. That was followed by the luxury segment ($1 million +) which rose 15.4 percent. Next was the $250,000 to $500,000 segment which saw a 13.0 percent gain. Activity among lower- to mid-range homes -- those priced between $100,000 and $250,000 – was flat. Rentals of single-family homes and townhomes/condominiums registered another strong month. HAR will publish its January 2024 Rental Home Update next Wednesday, February 21.