Demand for new homes in Texas has been growing steadily over the last several years, as evidenced by the rate of new home sales growth across the state. HomesUsa.com, an online MLS interface for new home builders, recently released the New Homes Sales Index. The index contains statistical data regarding sales of new homes in Texas. According to their report, the sales pace for new homes in Texas showed improvement in August for the second straight month as sales prices improved.
In three out of four of the largest Texas Markets, new homes took fewer days to sell based on a rolling 12-month average. The exception to the trend was San Antonio, where new homes took more time to sell based on the same time period. A month earlier, San Antonio had shown the most significant improvement in new home sales statistics.
Average Days on Market for New Homes in Texas
- Total Days on Market for new homes dropped from a rolling 12-month average of 134.52 days in July, to 134.42 days in August for Houston. It is the largest new home market in Texas.
- The number of Days on Market for new homes sold in Austin was 111.92 days in August. That statistic is down from 112.10 based on a rolling 12-month average in July.
- In Dallas-Fort Worth, the Days on Market for new homes came in at 122.83 days in July to 122.84 days in August. It’s the smallest improvement among the largest real estate markets in Texas.
- San Antonio new home sales showed the biggest improvement in July, reaching 105.53 days to sell. In August, that statistic reached 105.6 days to sell.
New Homes Prices Drop Across Texas
Throughout the four major Texas real estate markets, the statewide 12-month rolling average for new home prices dropped from $ $365,993 in July to $364,747 in August.
- The Houston average new home sales price in July dropped from $365,679 to $365,005 in August.
- In July, the average new home sales price in Austin dropped from $384,934 to $382,930.
- For Dallas-Ft. Worth, the average new home sales price in July dropped from $386,334 to $385,155 in August.
- In San Antonio, the average new home sales price in July dropped from $293,466 to $292,748 in August.
David Brodsky, broker/owner of boutique Austin real estate brokerage David Brodsky Properties, said that the impact of Hurricane Harvey on Texas home sales has yet to be seen. “It’s likely that the tragic effects of Hurricane Harvey will be seen across many parts of Texas, in terms of real estate demand and new home sales. Unfortunately, tens of thousands of people have been displaced from their homes in Houston. Housing demand is very high now. We pray for the displaced Texans and their families and hope they’re able to find appropriate housing very soon.”
Number of New Homes Sales Increase
Data from the HomesUSA.com New Homes Sales Index also showed that the number of new homes sales increased across The Friendly State in August 2017. Based on a rolling 12-month average, monthly new home sales went from 3,076.333 in July to 3,169.92 in August. Again, new homes sales statistics were up across almost all of the largest Texas real estate markets. San Antonio was again the exception.
- Austin posted a 12-month rolling average of total new homes sales of 541 for August. The August stat is up from 536 in July.
- Houston posted a 12-month rolling average of total new homes sales of 1138 for August. New homes sales in Houston reached 1124 in July.
- Dallas-Ft. Worth posted a 12-month rolling average of total new homes sales of 1058 in August. That’s up from 1054 home sales in July.
- San Antonio posted a lower 12-month rolling average of total new home sales for the month of August, with total new homes sales of 434 in August. That’s down from 434 in July.
Understanding the new “Days on Market” Index
HomesUSA.com claims that their New Home Sales Index is a first of its kind index to track the sales activity of new home sales. The index is an analysis by HomesUSA.com of sales of homes listed in the Dallas-Fort Worth, Houston, Austin and San Antonio local Multiple Listing Services (MLS).
Prior month DOM numbers are subject to adjustment
Please note that the monthly data is based on information reported to the MLS that may be incomplete or subject to further revision by the MLS. While licensed real estate professionals are required to report closed sales to their local MLS in Texas within 72 hours of a closed sale, not all sales, unfortunately, are reported promptly and some are reported more than 30 days later. This late reporting causes the prior month’s reported index number to change to include newly reported sales. Only the prior month index number is impacted and that number, once adjusted, is the final and correct index number.
If you’re interested in buying a new home, reach out to David Brodsky Properties for a complimentary consultation. We’re happy to meet with you to better understand your real estate needs and help you through your new home purchase. Buyer representation is free and is worth the time and consultation to help ensure you get the most for your money in a new Austin home.
Read more about Austin Real Estate.