Condo values outpaced single-family home prices in Houston by nearly 5 percent during the third quarter.
According to a report from Zillow, the median price of a condo rose by 13.6 percent year-over-year during the quarter. In comparison, the median price of a single-family home appreciated by 9 percent during the same period.
Of the 35 most populous cities, only Dallas-Fort Worth (20.1 percent) and Denver (19.7 percent) experienced larger year-over-year rises in condo values.
Houston’s condo market remains an affordable one despite the nearly 14 percent rise in values. The city’s median price of $108,900 represents the lowest condo price among the nation’s 18 largest markets. When expanded to include the 35 largest markets Houston has the sixth lowest condo price.
“Condos increasingly represent a strong-performing, often affordable choice, particularly for first-time buyers interested both in homeownership and in keeping a lower-maintenance, city lifestyle,” said Svenja Gudell, Zillow’s chief economist, also noting the additional costs, like homeowner association fees that come along with condo ownership.
Houston’s single-family market also remains affordable with a median home price of $170,000. Of the 10 largest markets nationally this ranks as the second lowest median price behind Atlanta ($166,000).
The trend of condos appreciating faster than single-family homes is occurring throughout the nation, according to Zillow. During the third quarter, the overall median price of a condo rose by 5.1 percent year-over-year in comparison to 3.7 percent in the single-family sector.
