- Some sellers in Pearland are waiting to buy their next home until prices cool down.
- Pearland is south of Houston and has a population of roughly 100,000.
- The city is one of the most active submarkets in the Houston metro when it comes to yearly home sales.
Relatively steady home sales activity, minimal inventory and noticeably rising home prices have made Pearland a seller’s market.
The Houston submarket accounted for 2,391 sales spanning October 2014 to September 2015, a 3 percent year-over-year rise. At the same time the average sales prices of a home rose by nearly 11 percent to $253,876, according to the Houston Association of Realtors (HAR).
This October 175 homes sold in Pearland, according to Danny Frank of Keller Williams.
While this total is a decline in activity when compared to October 2014, when 202 homes sold, the median price of a home sold last month reached $240,000. Spanning October 2013 to October 2015, the median home price in Pearland has rose by $35,000.
“That’s 100 percent to do with inventory levels,” Frank said, noting the city currently has only 2.2 months of supply.
Competition among buyers is such that newly built homes sell in several days once they hit the market. If an existing home is priced properly it’s likely to received multiple offers within 10 days.
“Right now is the perfect time to sell your property,” Frank added.
The former HAR chairman should know, he recently sold his Pearland home in just five days. Rather than buy a new home he opted to move into a more urban property and signed a two-year lease.
“I’m waiting on property values to wane,” he said.
When it comes to hot Pearland neighborhoods, Frank pointed to The Lakes of Highland Glen and Shadow Creek Ranch. These neighborhoods are still considered ‘up and coming’ with homebuilding still occurring. In Pearland’s older, more established neighborhoods listings aren’t moving as quickly but they are capturing historically high prices.
The most active demographic in the city is the 25 to 35 age group.
“They’re trying to find good deals and they aren’t out there,” he said, noting homebuyers are drawn to Pearland for its ‘phenomenal’ school districts and its close proximity to the Houston Medical Center, NASA and William P. Hobby airport.
As the submarket enters the winter months a dip in sales activity is expected, while home prices should remain steady. For Pearland, Valentine’s Day has traditionally represented the kickoff to the home selling season.