I recently did a rehab in Houston/ katy area. I have the property on the market for over 10 days without a single showing or any inquiries. That is despite the fact that the property is priced below market. I was just wondering is anyone else experiencing a slow down in Houston area?
Welcome to the site.
I don't know much about Houston but wanted to let you know you can ad Houston as a keyword alert so anytime other members mention it you will receive a notification.
We have seen some increased vacancy in S Houston, but my PM claims that she is doing some house cleaning and clearing some bad tenants.
Last Sunday I was contacted by someone who wanted me to show him a property on Tuesday or Thursday. I made the appointment for Tuesday evening, but the owner declined because of the impending storm. So I asked the buyer if he could see it Monday night, but he said it would have to be Thursday. On Wednesday I got a message that the owner accepted a contract. It was on the market 5 days.
So I sent the buyer a list of similar homes and he picked one to see on Thursday evening. Thursday afternoon I received a call from the agent to tell me that they had accepted an offer. It was on the market for 15 days.
So I can't say that I'm seeing a slowdown.
One thing I have noticed about Houston is that houses either sell really fast or they sit there forever. There doesn't seem to be any rhyme or reason to it. I'll see two very similar homes in the same subdivision for the same price, and one goes in a matter of days and the other one will be on the market for months.
I do not know if I would call it a slow down, our vacancy time is under 18 days for our properties and we are still getting 15 - 20 new clients every month. I do think a lot of the speculators that were over inflating or at-least having the potential to over inflate the market have moved on and now the more serious investors are digging in and buying good value homes with major cashflow and upside potential.
We are all over Houston from Texas City to Willis and Katy to Channel-view, so I do think this is a good sampling. And as an investor myself and talking to the investor that are serious they are not slowing down but actually picking up steam to buy our deals and have us help them out looking a stuff since the majority are out of town and out of state / country investors.
I think because of the HUGE Exxon campus opening is going to continue with the growth. I personally have a rental home that 2 years ago comp'd out at $1295 per month and now is over $1700 just because of price and demand... That shocked me personally and I verified the numbers because I thought no way!!
Again just my opinion and what we are seeing.
my opinion is it is either price or product, simple economics. If something is priced correctly and the product is good it will sell. Every market and price range has it's quirks, and real estate moves real slow like a slug so do not think it will happen like trading a stock.
If this property is for an investor and not end buyer I do have many many investors that are looking for homes for them to buy and us to end up managing. I am sure on here there are also many people that can help you out. I know my investors which is well over a list of 5000 across the world are always asking for anything out there just let them know.
It may be your marketing, maybe try other avenues. International?? Alot of Canadians and Australians are looking to get into the Houston market.
There are publications and websites up there that you can advertise the home.
Just a thought
I think I see a slight slow down in Houston. I live in rice university area. If you look at the area covered by 3 elementary schools: West U, Roberts, and Poe. I suddenly see around 230 homes on the market. Two years ago there was less than 70. Even earlier this year it was around 100. I am familiar with this area, I live here, definitely looks like a slowdown. Remember this is sought after neighborhood so I think prices go to a point where it is not sustainable and I am seeing a few price reduction, only very few, but it is a sign.
Seems like your area is not going cold as of yet, @Fred Heller . Which area(s) do you represent?
I'll go anywhere for a sale. This week we closed on a house I sold in Richmond.
But my home area is Garden Oaks/Oak Forest, Lazybrook/Timbergrove, and I stretch out to the Heights and up to Spring Branch and Cy-Fair.
I also think its just timing. Summer's here, so way more properties coming on the market now. I don't think it's a big slowdown. Properties around me are still going as fast as ever.
All of our properties are full except one that we turned 2 weeks ago. It is on the SW side 3/2/2 and I have gotten over 150 inquiries in that 2 weeks for rental.
So in the rental game I am not seeing a slow down.
I'm not sure if it's a slow down, but I have been seeing fewer properties be listed and those that are are over-priced and sit for a long period of time. 6-month sold comps for those houses sell for a lot less and I think people are weary. But that could just be my neck of the woods here around 610 north.