Texas single-family home sales declined 5.6% in the second quarter of 2022 compared to the same time frame in 2021, while the median price kept climbing, according to the 2022-Q2 Texas Quarterly Housing Report recently released by Texas REALTORS®.
“Although home sales slightly declined, the demand for buying a Texas home was still impressive, with more than 100,000 homes sold during the second quarter of 2022,” said Russell Berry, chairman of Texas REALTORS®. “Housing inventory levels are finally on the rise in many areas of the state — something we haven’t seen for several years — but home prices continue to rise.”
During the second quarter this year, the statewide median price of $357,388 represents a 19.1% increase compared to the same quarter last year. Nearly half of the 108,390 homes sold in the state were in the $200,000-$399,000 price range.
Jim Gaines, Ph.D., a research economist with the Texas Real Estate Research Center at Texas A&M University, added, “The rapidly rising interest rates, increases in home price, and tight housing inventory had a slowing effect on home sales in the second quarter of the year, but the Texas housing market is still strong. The data could indicate signs of a transition period for the Texas real estate market. If inventory continues to steadily increase and home sales price appreciation begins to slow, we could be moving towards a pre-pandemic environment.”
The housing supply in Texas increased by 0.8 months in the second quarter of 2022 to 2.1 months of inventory. This is the first time inventory has increased year over year since the third quarter of 2019 and the first time it has been above two months since the third quarter of 2020.
The report noted that homes spent an average of 27 days on the market before going under contract, five days less than the second quarter of 2021.
“Right now, it’s crucial for homebuyers and sellers to equip themselves with accurate information and reliable resources,” added Berry. “Working with a Texas REALTOR® is the optimal way to make an informed and timely decision in what is still a very active real estate market in every area of the state.”