Why Sugarland house prices going up so fast? (Houston, Dallas: employment, buying)

[misterno]

Originally Posted by Augiec

Looking at the sales history of the house, assuming they pulled the data from the MLS (only reliable source), the house did a little more than double in price over the course of TWENTY YEARS.

Price History

DATE EVENT PRICE $/SQFT SOURCE
12/28/16 Listed $318,000+113% $140 RE/MAX Fine Pr...
11/04/93 Sold $149,432 $66 Public Record

That's really not terrible by any stretch of the imagination.

I was looking at the last 5 years


That was a huge increase and beyond imagination

[Augiec]

Originally Posted by misterno

I was looking at the last 5 years


That was a huge increase and beyond imagination

Fair enough; there's this thing called Oil, and it did really well for a while. Another thing called Healthcare that is still doing really well.

[misterno]

Originally Posted by Augiec

Fair enough; there's this thing called Oil, and it did really well for a while. Another thing called Healthcare that is still doing really well.

that still does not explain the increase after 2014 when oil crashed


So many people laid off and the new jobs they found did not pay as good as the old ones


Also , there was an article in HC talking about medical jobs replacing oil jobs and that most medical jobs much less than energy companies


I guess and this is only my guess, we have a huge inflow of immigration. This is one


second is houses are so cheap compared to other parts of the country. People are still buying them so easily.


Houston is an anomaly. very weird

[Ghost Town]

Originally Posted by Augiec

Looking at the sales history of the house, assuming they pulled the data from the MLS (only reliable source), the house did a little more than double in price over the course of TWENTY YEARS.

Price History

DATE PRICE
12/28/16 $318,000 (+113%)
11/04/93 $149,432

That's really not terrible by any stretch of the imagination.

For 20 years that's only inflation-adjusted growth. Interesting

[wheretogo]

Originally Posted by misterno

I was looking at the last 5 years

Thats why you feel its ridiculous. If you take last 10 years, its just around 40% increase 10 years. There was no change between 2007-2013. Then it spiked.

[cheryjohns]

Originally Posted by wheretogo

Thats why you feel its ridiculous. If you take last 10 years, its just around 40% increase 10 years. There was no change between 2007-2013. Then it spiked.

Yep.

I have noticed that real estate in Houston plays "catch-up" later if there are some slow years - like right after the last national economic slump you mentioned and the earlier Houston slump in the late 80's. The trajectory later seems to to be in the same spot it would have been, if there had not been a slump.

[Lbjen]

The metro area had expanded significantly in the last 4 years, but no new roads have been added. That makes areas that are somewhat easier to commute from like Sugar Land, even more attractive.

[Clever nickname here]

Originally Posted by wheretogo

Thats why you feel its ridiculous. If you take last 10 years, its just around 40% increase 10 years. There was no change between 2007-2013. Then it spiked.

The great recession was 2008-2012. When gas hit $4/gal and mortgage rates dipped below 4% people bought closer to work as the math worked. We figured out our commuting costing, at that point, could buy another $125K of home inside the loop so we moved.

Look at that first post's graph. That home lost $45K in value between the end of 2007 and 2009. If you had bought it in 2007 it would be only $30-35K gain over those 9 years. So that is a 12-15% increase over a decade. But if you do the math from the bottom of the recession it went up $75K from the bottom for a 40% gain. But that omits it lost 20% of its value in a 2 span of the recession.

[mikeyyc]

If you think that's outrageous growth, never, ever look at the pricing for Calgary.


Sugar Land is a desirable area. 10% growth in pricing annually is high, but it's far from outrageous. Houston has been tremendously undervalued as far as housing stock goes, but as the exurbs continue to be even more far flung, the sweet spots are seeing an increase as a compromise from the high costs inside the loop to the deep discounts for multi-hour daily commute times.

[SugLandDAd]

Money from China.