Houston-Area Home Sales Drop for Third Month

Houston-area single-family home sales fell 9 percent last month, according to figures released today by the Houston Association of Realtors.
While it marked the third consecutive month with a significant decline, the figures represent "comparative stability," with area sales and pricing performance still outpacing 2005 figures, the association reported.

"The drop in property sales, while disappointing, is not unusual at this time of the year, and is far from the loud thud being heard in markets outside Texas," Rob Cook, the association's chairman and broker-owner of Robert D. Cook Properties, said in a news release.
Houston's housing market, he added, is expected to fare much better than the national market when the figures are tallied at the end of 2007.

Year-to-date single-family home sales were down 3 percent in the area. That compares to an estimated national decline of 12.5 percent this year, according to the National Association of Realtors.

Houston-area Realtors sold 4,863 single-family homes in November through the Multiple Listing Service. Most of the homes were used, but some were new.
While sales were down, the median price rose 1.7 percent to $150,000. That's 27.1 percent lower than the national median, which reached $205,700 in October.
The increase in home prices, Cook said, "demonstrates that Houston's real estate market has staying power through the subprime debacle and continues to offer a sound investment opportunity as we head into 2008."

But some clouds are on the horizon. The number pending sales at the end of November — those properties expected to close within the next 30 days — dropped 5.7 percent from the same time last year, signaling another likely decline in sales for December. And more homes were on the market in November than last year. That figure jumped 13.3 percent to 52,217 properties. But if fell from October by 1,190 units, a positive indicator for the market, as lower inventories generally support pricing levels, the association said.

Source: NANCY SARNOFF, Houston Chronicle Copyright 2007, December 18, 2007