The month of May brought flooding and heavy rains to Houston, but the flood of buyers seems to have dried up! Where have all the buyers gone? Last year at this time, homes for sale were receiving multiple offers within 24 hours. While up until April home sales under $600,000 remained strong, the drop in oil prices seems to have finally impacted the real estate market.
Seller’s expectations remain high, while buyers have become very cautious about overpaying for a home, and have become very particular. I believe that until we see prices level off to buyer’s expectations, sales will be slow. Don’t be fooled though – Homes priced under $250,000 are still flying off the market!
Additionally, the rental market seems to be heating up again. This is reflective of low oil prices. Whenever oil prices drop in Houston, home sales slow down and rentals heat up. I think we have a bumpy road ahead for the remainder of the year.