Spring Texas Real Estate: Market Report February 2011
What’s going on with the Spring Texas Real Estate Market? It can be summed up by saying “What one month giveth, the next month taketh away”. February home sales were down by 16% over the previous year. The decrease in home sales was enough to wipe out January’s increase resulting in a YTD decrease in home sales of 7%.
Comparing month over month or YTD sales for the Spring Texas real estate market are going to be misleading for the entire year of 2011. Due to the demand pushed forward by last year’s home buyer tax credits. This year the health of the Spring Texas real estate market needs to be evaluated based upon the months of inventory.
If the months of inventory increases, home prices will drop. If the months of inventory decrease, home prices will increase. The Spring Texas real estate market is starting off the year with 7.3 months of inventory which puts us in a buyers market.
Six months of inventory is considered a balanced market. More than 6 months of inventory is considered a buyers market and less than 6 months of inventory is considered a sellers market.
The advice I have for buyers is get out there now especially if you are getting a FHA loan. The interest rates for 30 year loans are still hovering a hair below 5% and if you have a house in contract before April 18th, you can avoid an increase in the monthly cost of FHA loans.
Want more numbers? Check out past Spring Texas real estate market reports.
The data represented is from the Real Estate Center at Texas A&M University and the Houston Association of Realtors MLS for single family existing homes in Area 13. Area 13 covers the geographic boundaries of East – I45 to West – Hwy 249 to South – Beltway 8 to North – Spring Cypress. A good portion of the houses in MLS area 13 have a Spring Texas mailing address.