As we roll into fall, Houston’s real estate market is buzzing with energy, fueled by declining mortgage rates that are making homeownership a little more attainable. With average 30-year fixed rates dipping to around 6.5%—the lowest since October 2024—buyers are feeling more confident about making a move. Here’s how the latest numbers are shaping up:

Home Sales Snapshot

We’re seeing some exciting activity! Home closings jumped 12.9% year-over-year, with 2,022 homes sold during the week ending September 1, compared to 1,796 homes this time last year. This surge shows that buyers are jumping back into the market, ready to take advantage of these lower rates.

However, pending sales dropped 9.9%, with 1,750 homes going under contract, and new listings dipped slightly (down 1.1%) with 3,126 new homes added to MLS—the first decline since January. This tells us inventory is still tight, but homes that are well-priced are moving fast.

Showings rose by 9.5%, which is another sign of growing buyer confidence. Lower interest rates are bringing more people out to see homes, and we anticipate this energy will build momentum as we move deeper into fall.

Rental Market Insights

It’s not just buyers getting a boost—renters are seeing more choices too. Single-family leases climbed 6.5%, with 4,645 homes leased compared to 4,361 in July 2024. Even more striking, rental listings skyrocketed by 36.5%, giving renters plenty of options. Rents are holding steady around $2,424, and the average days on market crept up slightly to 34 days.

As HAR Chair Shae Cottar put it, “Increased supply is giving renters more options and helping to balance pricing.” This shift is great news for anyone considering a rental while they wait to buy in a cooling market.

What It All Means for Fall

With interest rates trending down and buyer activity heating up, this fall is shaping up to be one of the most robust seasons we’ve seen in a while. Lower rates not only improve affordability but also encourage sellers to list, knowing buyers are motivated. Whether you’re thinking about buying, selling, or investing, now is the time to strategize.

Ready to make a move this fall? Our Energy Realty team is here to help you navigate this dynamic market with confidence!

by Sherry Campbell | Broker/Owner of Energy Realty