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Houston Loses Throne As No. 1 Market

by James McClister

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The Urban Land Institute released its 2016 Emerging Trends in Real Estate report and survey recently – the 36th edition of the institute’s trends and forecast report – providing analysis of the nation’s top real estate markets, and subsequently ranking the metros’ outlooks on the basis of investment, development and homebuilding.

Through its survey, ULI discovered a significant dampening of dispositions regarding the Houston market, as the city’s ranking took the most significant tumble of any previously ranked metro, falling from No. 1 in 2014 to No. 30 this year.

While the city continues to grow, the report read that the increasingly negative outlook is the result of “concern over (how) the fall in the price of oil combined with the current level of new development” will affect the market. Prices in the city remain strong, but already sales are beginning to taper.

However, despite Houston falling so far in the institute’s rankings, the city remained in the top 10 (No. 6) for its homebuilding outlook.

View our table below to see this year’s top 20 emerging markets, according to ULI.

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