Answer: On fire.

The real estate market saw unanticipated and very-welcomed movement in June, and now those properties have moved from “under contract” to “sold,” setting new records yet again. Not only did Houston see a 23% volume increase year-over-year in single-family properties, July sales surpassed an unprecedented record with nearly 11,000 sales. For perspective, the Houston market has never exceeded 10,000 sales in a single month.

Average and median pricing has also soared to historic heights, largely in part to strong activity in the luxury and mid-range markets. Nearly every segment of home prices saw a substantial boost in sales volume, most notably the $500,000-$750,000 range bumping up a whopping 52%, with the luxury market ($750,000 and above) close on its heels with a 42% increase. As a result, total dollar volume for the month leapt a staggering $4.1 billion, equaling a 34% increase year-over-year.

While the record-low rates have kept buyers busy on the home-shopping front, uncertainty brought by COVID-19 has deterred many would-be sellers from officially hitting the “list” button. Typically somewhere between 4.0-4.5 months supply this time of year, our single-family inventory has fallen to a 3.0-month supply.

Will Houston’s inventory be able to keep up with the surge of buyer demand? August appears to be off to a good start but with only half the month under our belts, we will have to wait and see.

For the Houston Association of Realtor’s full July 2020 market report, please click here.