Pearland Texas Real Estate Market Trends
It is that time of the month to look back to see how the real estate market in Pearland TX did compared to the history and to look where it might be headed.
In this story, I will be looking at the 2 zip code of Pearland, 77584 and 77581. For the most part, Pearland is following the history of what it has always done.
First, let’s look at the market dynamics of something called sales absorption. This shows the trends of how the market is doing and where it might go. Looking at February 2011, Pearland only sold 77 single family homes, compared to February 2010 in which we sold 93 or a 17% decrease. Pearland home sales always tend to start moving upward this time of the year and this year is not going to let us down. One of the key things I look at is how many houses are going under contract compared to the previous months. Pearland only had 10.6% of the homes for sale under contract. That number is off from this time last year and the year before. Last year we were sitting with 14.3% of homes under contract and in 2009 we had 12.9% right after Ike.
Looking at the chart above, one can make the assumption, we might be starting to really come out of the slump Pearland has been in since Ike hit the Pearland area.
Supply and Demand
Next, let’s look at the key market item called Supply and demand. This will show you what is really going on in the Pearland Real Estate Market. At the end of February, Pearland had 1129 homes for sale, 120 homes under contract and 77 homes that where SOLD. The trend is flat for the number of homes for sale and trending up for both homes under contract and that where sold. In my blog looking at the December 2010 stats, I stated that I thought the market was going to start it’s uptrend and I was correct... I think the Pearland real estate market will catch fire starting right now and continue it’s upward growth in price and the total number of home being sold.
Months Supply of Inventory
The next chart will show some good news. It shows that Pearland’s housing market is starting to level off and make the move back to a neutral market. NAR, National Association of Realtors, tells us that 6.5 months of inventory is a neutral market. At the end of Feb 11, Pearland only had 7.5 months of inventory available, but the time to sell your house is now taking about 106 days on average. If you look back at Dec 2009, you will see we had 12.8 months of homes to sell in Pearland. How long it takes your house to sell is all dependant on how you price it in the market. If you price your house higher than average, it will take longer to sell and if you price your house below the market, it will sell faster.
Median Price of Sold Homes
As I predicted back in Dec 2010, the median sales price for homes in Pearland in starting it’s climb. Pearland’s median sales price was $176,000.00 at the end of Feb 2011. That price is up after 4 straight months of decline. But Pearland is still not back to it’s high of $192,000 from Sept 2010.
Now is a good time to Buy
Because interest rates are low and the Pearland real estate market is soft, NOW is the time to make your move. Think about it, if you have any equity in your house, you might not get as much as you might have gotten a few years ago, but now you can get the house you have always wanted for a much lower price.
Call me to discuss your specific needs. Let me show you how and why NOW is a good time to sell and move, to downsize, or to move into an area with better schools for your kids.
Whether you're interested in buying your first home, your next home, or just want to know more about home-ownership in general, I encourage you to check out a couple of great online resources: http://www.texasrealestate.com/ or http://www.har.com/. And for all of your Pearland, TX and Northern Brazoria and Galveston County real estate needs, please visit my site at: http://www.danfrankrealty.com. All of these sites offer tons of useful, real estate-related information geared specifically for Texans.
Remember, Danny Frank is a local Pearland, TX Real Estate expert! You can see my entire blog at: http://www.pearlandrealtyblog.com