Some of you might be surprised to hear that the Texas real estate market has remained relatively stable throughout 2019. Even though Trump’s presidency and the building of the wall with Mexico showed indicators of instability, Texas remained firm and stable. This has lead to a steady rise in economic growth and job opportunities, especially in the IT sector. This, in turn, has led to a healthier housing market and a steady increase in housing demands, especially in the big cities. So, with all this in mind, what are the current Texas real estate trends and what can we expect for 2020? Well, to answer that question, we are going to take a closer look.
Current Texas real estate trends
To get a full understanding of an area’s real estate market, you need to keep track of all the factors that influence it. Job opportunities, living conditions, environmental factors… All of them play a role in how well a real estate market is doing and how it is going to trend. So, while we will go over some of the more important Texas real estate trends, we would advise you to keep on researching. To get the full idea of what Texas real estate is all about, you need to spend some time looking into it.
Median home value
Let’s first take a look at some hard numbers in order to get a better understanding of how the Texas housing market is doing. That way you will know what’s in store before you get a home mortgage loan.
- Median listing price – $197,200. The median sale price is, of course, offset by larger cities like Houston where the median listing price can go as high as $300,000. Texas, after all, is a big state and most of the homes you will find in it are quite affordable. Although keep in mind that the average downpayment is 23.6%.
- Average rent – $1036. This price is for a two-bedroom home. For a larger one with four bedrooms, you should expect to pay around $1721. Both of those are lower than the US average, where the rent is $1145 (2 bedrooms) and $1791 (4 bedrooms).
Housing for young professionals
So, let’s say that you’ve saved up some money and you want to invest in Texas real estate. Where should you start? Well, our advice is to first look into housing for young professionals. Both educational and economic standards have risen over the past decade. This has led to a large number of your professionals, or people that will soon become young professionals to move to Texas. The opportunity to study in a top-notch college and then proceed to work in AT&T or Dell Computers is a hard one to pass.
Now, what are young professionals looking for? Well, ideally, you want to have a decent apartment in an excellent location. Most college graduates are looking for a smaller, easy to manage apartment that is going to be near their workplace. And, if it is near local bars or clubs, all the better.
Commercial real estate
Texas is slowly becoming one of the top states in the US when it comes to the industry. While the construction industry is at the forefront, IT and military technology are not falling far behind. Therefore, investing in commercial real estate in Texas can be a good idea. This is especially important to consider if you plan to move your business to Texas and settle down in this state, as buying real estate will be a good financial choice in the long run.
While smart homes are not yet in full swing, we expect that they will be one of the biggest Texas real estate trends in the years to come. Smart grid solutions, solar panels, hydration systems, monitoring systems, smart home safety… All of these features are expected to become the norm in a couple of years. So, if you want to stay ahead of the curve, we suggest that you start improving your home by adding smart features. Even something simple like a smart lock, or solar panels can substantially increase the value of your home. Also, remember that a bit of showmanship can go a long way when selling a house. So, try to install remote-controlled appliances in your home and make it seem that much more futuristic.
There are few states in the US where people are minding their safety as much as they do in Texas. Keep in mind that Texas is not an unsafe state. But this has a lot to do with local people’s awareness. So, if there is one Texas real estate trend you should look out for, it’s home safety. Selling a home in a safe neighborhood is much easier than selling one in a historically more dangerous one. So, remember to study your local area closely before you make any real estate investments in Texas. Furthermore, when selling a home, try to emphasize its safety features. The more you look into it, the more you will see why having a top-notch security system is almost a must in Texas.
Is now the right time to buy a home in Texas?
So, with all this in mind, should you invest in Texas real estate? Well, it’s hard to say. Although construction is booming in Texas, and the value of real estate keeps rising, there are other factors that you need to consider. Shifting political climate in the US can bring instability to Texas, as it is one of the border states. Furthermore, other states like California and Massachusets are still ahead of Texas in IT, which is the only safe bet when it comes to economic growth. So, while Texas has a strong economy now, it is becoming harder and harder to estimate how Texas will develop in the coming years. But, as it stands now, Texas is a growing state with a lot to offer.