Do you expect the housing prices go up, stay the same or go down in 2015? (Houston: houses, employment)

[Rip808]

Originally Posted by rjj42

@Ihafer : Yes, i totally agree, I think that the housing prices will def plateau. I don't think they will drop significantly either, though I did read an article online (Katy Real Estate: High-End Housing Market Could Take A Hit With Collapse Of Oil Prices | Covering Katy) which mentioned that some listings in Katy like in Cinco Ranch have already started to be relisted at about 25% below the original list price. Again, its a very small sample so I doubt it is representative of the whole energy corridor area.

Would love to hear more thoughts by others as well.

A lot of these "price reductions" are pure marketing ploys. I have seen how builders price out inventory at ridiculously inflated prices only to come back and slash prices to make you "think" your getting a great deal when in reality your just paying its fair market value and then some. Can these price increases continue for ever and ever? I don't think so. But I don't think it will come crashing down...more like cooling off (hopefully). I am no fortune teller so I can be completely wrong! If you are buying, make sure its an investment that you plan to hold for at least 5 years. There are always up and down cycles, if it does come crashing down you have to be able to hold it and ride out the tough times. Try not to stretch yourself with your budget, always have that emergency money just in case. Good luck!

[texas7]

In today's chronicle. National report ranks Houston's housing market among the most overvalued - Houston Chronicle

[eastontracks]

Some have said said this but prices will Prob dip some in homes that are in the suburbs. For example, some that sold for maybe 450k could drop to 375-400. I also think the really nice townhomes in the inner loop will dip a tad too. Many of those places are over valued.

For me, I wouldn't be in no rush to buy as I don't see prices going any higher than last year. So you'll end up paying same price or paying less. If it were me, I'd prob look in winter or '15.

[rjj42]

@Texas Ag 93:Oh wow, no I hadn't seen that article previously. Thanks for pointing it out.
I think the prices may more than just plateau then, they may actually drop quite some amount then.

Any other opinions/comments?

[rjj42]

@eastontracks: Yes I agree, it doesn't make sense to be in a rush. I think I will be better off waiting atleast a few months to let the dust settle before trying to put money down on one. I was thinking maybe I will start looking around Fall 2015 (say around August September 2015)

[rjj42]

I've also been playing around with the HAR Iphone app this morning. Looks like there have already been some relistings in and around the Beltway 8 I-10 intersection area, I saw several that were reportedly (God alone knows if that's true) marked down 15-20%.
It'll be interesting to see where the dust settles on this.

[ipuck]

Go to homesnap if you want to see the listing history of a house. It will show every price revised upward or downward.

[0825spring]

Originally Posted by rjj42

Hi everyone, I've been living in Houston for about 3 years now, currently I rent a one bedroom Condo in the Galleria area outside of the 610 loop. I pay about $985/month in rent. I work as an engineer in a company located in the Greenspoint area. Though it may seem like I have a long commute, I'm against traffic both ways and usually don't spend more than 30-40 minutes commuting each way.

I've been noticing the hot housing market in Houston over the last year or so where people have been out-bidding each other to get their hands on their dream home. It felt actually a little ridiculous to me and there were clear signs of a 'hot' sellers housing market.

Now that oil prices are down and companies have started announcing CAPEX cuts and with potential layoffs in the future, does everyone feel like the housing market in Houston will cool down a bit? Do you think that the prices would come down a bit somehow? I personally don't think that the prices will come down by much, but I feel that the fear in the OG industry will slow down the rising costs of buying a house in atleast some areas of town like in Katy and near the Energy Corridor area. It may put more power in the hands of the buyer than what happened in 2013/14. I am personally also looking at putting some money down for a house if I see housing prices either flatline or go down. I am currently looking at houses near the intersection of I-10 and Beltway 8, which would give me a decent commute to the Greenspoint area for work at present and would make it a good commute for future employers in the energy corridor area.

Would love to hear your thoughts! Thanks in advance!

We are in almost the same situation; however we have only been back in Houston for 7 months. I've already seen the CAPEX cuts and will be working the manpower impacts over the weekend.

We want to buy but feel the areas we're interested in are overpriced. After consulting with our long time realtor, we've decided to continuing renting for at least several months to watch the market. The houses available right now don't meet our criteria anyways. Plus, I want to see how the upstream work plays out....I can always switch over to downstream or petrochem if needed....or head off on another international assignment. It's a good time to be flexible with a big pot of cash as backup, not spend it on a down payment or rehabbing a fixer. I'd rather wait it out and snap up a bargain after the price of oil stabilizes and OPEC/Saudis are through with their games.

[rjj42]

@ipuck: wow, didn't know of that site previously, Thanks for the pointer!

[rjj42]

@0825Spring: Which areas of town specifically do you feel are overpriced? Would love to know.