Houston ranks low in average home price increases (West, Combine: real estate, insurance)

[Wonderful Jellal]

Despite not having as big of a bubble burst as other major U.S. cities, the Greater Houston housing market is lagging in terms of home price increases, according to a monthly national housing report.
The Houston metro area ranked as the 43th-worst housing market out of 50 metro areas around the country, according to a monthly national housing report from Clear Capital, a Truckee, Calif.-based real estate valuation analysis firm.
Local housing prices rose 2.5 percent during the four months ending in July compared with the prior three months. That is well below the national average of a 7.9 percent increase.
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Read more: Houston ranks low in average home price increases - Houston Business Journal
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[cheryjohns]

Everything is relative.

If a $500k house plummets to $200K in California - and then rises to $240K - that's a 20% increase.

In Houston, If a $500K house NEVER goes down at all - and continues its measly 2.5% climb upwards - only in twisted statistics is that considered bad.

[pach84]

Originally Posted by cheryjohns

Everything is relative.

If a $500k house plummets to $200K in California - and then rises to $240K - that's a 20% increase.

In Houston, If a $500K house NEVER goes down at all - and continues its measly 2.5% climb upwards - only in twisted statistics is that considered bad.

It all depends on the area in Cali or Houston. You are comparing an average area in Cali with a really nice area in Houston. Apples and oranges.

There were plenty of nice subdivisions that declined over the years--not including townhomes. Some areas are still declining. Location, location, location.

[Mariorojasrincon]

Hello everyone !!!, I am planning to move in somewhere in Houston, but I do not where to go? Any suggestions???? I am trying to avoid any natural disaster??? and of course how much can I pay for 3- bed room house, 2 bath rooms. Detached house would be great for us (2 adults and 3 kids). Thanks

[AjaxMalone]

Originally Posted by Mariorojasrincon

Hello everyone !!!, I am planning to move in somewhere in Houston, but I do not where to go? Any suggestions???? I am trying to avoid any natural disaster??? and of course how much can I pay for 3- bed room house, 2 bath rooms. Detached house would be great for us (2 adults and 3 kids). Thanks

If you live in Houston city proper, you shouldn't have a big problem with hurricanes.

[AjaxMalone]

Originally Posted by Kowalzick

I don't think thats entirely true. Weak mature oak trees and old drainage systems(if it existed at all) are everywhere in older neighborhoods of Houston. And I highly doubt those areas even have water retention ponds

I said "big problem". I sincerely doubt your ass will become flooded if you live so many miles inland. But that's why you get flood insurance anyway. In Clear Lake we got not much more damage than some down fence posts when Ike came.

[cheryjohns]

Originally Posted by Mariorojasrincon

Hello everyone !!!, I am planning to move in somewhere in Houston, but I do not where to go? Any suggestions???? I am trying to avoid any natural disaster??? and of course how much can I pay for 3- bed room house, 2 bath rooms. Detached house would be great for us (2 adults and 3 kids). Thanks

We would have to know what part of town your job is located and how much your house budget is.

[Texas_Engineer]

Reverting back to the original post, I think Houston's ranking makes perfect sense. When you compare the city/metro of Houston with other mid-to-large markets, Houston is arguably the fastest growing. Home prices generally won't increase significantly if there is an equilibrium of supply and demand. Right now the Houston area actually has an influx of inventory due to the continued expansions of subdivisions, as there is an apparent "never ending" amount of land available for construction.
Combine that with the lower population densities, and you create a housing market that flat. No major growth, but no major declines either (which is a clear positive).
That's why if you look at the East and West coasts, housing is expensive compared to the South and Midwest (outside of Chicago). High population densities and no room for expansion, unless you pay premium $$$ for airspace and build up. And yes, in other major cities like New York, airspace/rights is something of equitiable value. Same goes for somethign as trivial as parking spaces. You can buy/sell a single parking space for upwards of $100k-$200k based upon location.
A world of difference!!