Though Houston is one of the biggest and most diverse metro areas in the country with relatively affordable housing options, some neighborhoods have consistently gained value over the past 18 years. By analyzing over 400,000 Houston home sales since 2000, HoustonProperties.com found the neighborhoods that saw the biggest jumps in price appreciation in the past five and 10 years.
The neighborhoods that gained the most value in the past 10 years were Cottage Grove and The Heights, which appreciated 108 percent and 100 percent, respectively.
Cottage Grove is located in the Inner Loop and is considered one of the area’s burgeoning neighborhoods. In 2008, the median sales price in the area was $279,000 while in 2017 it grew to nearly $400,000. Homes in The Heights appreciated by 14 percent last year alone and the median sales price in the area rose from $305,000 to $475,000 from 2008 to 2017.
The neighborhoods that appreciated the most land value within the last five years were River Oaks and Midtown, which appreciated 89 percent and 70 percent, respectively.
River Oaks has gained national attention as being one of the best places to live from different national publications like Forbes and the Wall St. Journal. Midtown is one of the most inexpensive areas of Houston’s Inner Loop with a median home value of $399,450 last year, up from $270,700 in 2008.
The website also analyzed the best characteristics homes can have in order to gain value over time. These characteristics include having a location near major job hubs, on a street with “premier feature(s)”, and not near a major road or highway. Characteristics also included new construction homes and homes that could be easily rented, as well as properties with large amounts of land.
For a look at the land appreciation value of additional Houston neighborhoods, check out the chart below.