Image credit: HomesUSA.com
Homes in the Lone Star State are staying on the market a lot longer than they used to, according to a new report from HomesUSA.
The real estate marketing company’s New Home Sales Report shows that Texas sales have slowed for the past five months consecutively. Statewide, average days on the market increased to 83.29 in January, compared to 57.08 in January 2022 — a 45% year-over-year increase. In Houston, the year-over-year change was slightly less drastic, at 85.09 days in January, compared to 70.77 days a year earlier. In Dallas, days on the market averaged 94.98 — over 10 days higher than the state average. That’s up from an average of 53.25 days on the market in January 2022.
Despite the decreased competition, sales remain steady in most Texas markets.
“Texas new home sales are still showing remarkable stamina — as are Texas builders,” said HomesUSA CEO Ben Caballero. “Statewide and locally — in Houston, Dallas-Fort Worth, Austin and San Antonio — average new home sales are still strong, despite all of the challenges builders face.”
The three-month moving average price for new homes statewide was $460,083 in January, compared to $463,514 in December. The average price for new homes decreased in each of Texas’ major markets.
Texas homes are selling for less than their listing prices in many cases. The statewide sales-to-list-price ratio decreased from 99.95% in June 2022 to 97.23% in January, representing seven straight months of decline.
This data suggests that the Texas real estate market is shifting towards buyer-friendly conditions.