The city of Pearland, about 12 miles south of the Texas Medical Center, reported a 52 percent spike in single-family homebuilding permits to 1,457 for fiscal year 2015, which ended Sept. 30.
Residential permits in Pearland totaled $328.4 million or $225,300 per home in fiscal 2015.
“Pearland still has a lot of supply of that midrange price product, which is why they’ve largely been unaffected by the slowdown,” said Scott Davis, Houston director of housing research firm Metrostudy.
Danny Frank, CEO and team leader of Keller Williams Realty Greater Northwest, said another reason for the suburb’s popularity is because “it’s so geographically accessible”.
Homebuilding along the Texas 288 South corridor is in growth mode from Loop 610 to Lake Jackson, Davis said. Homes there are more affordable than in some other markets around town, he added.
In Highland Crossing on Pearland’s east side, for example, Beazer Homes and Pulte Homes are building residences priced from the mid-$200,000s, Davis said.
Adding More Homes to the Market
In Pearland, Frank said, the homebuilding is helping with the short supply of homes on the market, which has contributed to a $56,000 rise in the median asking price in the last two years to $284,995 in October.
September accounted for 203 single-family home permits in Pearland, the highest total for the month since 2007 and more than double the previous September’s count of 95.
More Projects to Come
There are plenty more lot sales in the works, according to the city of Pearland’s report. Pearland created 1,125 single-family residential lots in fiscal 2015. Of those, 1,082 lots were ready for building to begin immediately.
On the commercial side, Pearland issued permits for 545 projects totaling 2.1 million square feet valued at nearly $100 million. The Costco Wholesale Store and Fuel Station, with 160,179 square feet and a value of $13.2 million, was among the largest.