High-End Sales Bring Relative Improvement to Houston Market

Existing home sales dipped 12.3% in the Houston area in January, but activity was much stronger at the top end of the market than at the bottom, according to the latest figures from the Houston Association of Realtors. Overall, 2,514 units changed hands in January, the second straight month sales have declined. But sales in the $250,000-$500,000 bracket jumped 21.6% while those priced at $500,000 and above surged by 40%. In contrast, sales of homes in the below-$80,000 segment fell 28.9% and those priced between $80,000-$150,000 slid 19.3%. As a result of the heightened activity in high-end houses, the median price in the Houston market rose 11.9% in January to $144,500, the highest median ever for a January in the region. At $144,500, the median sales price for single-family homes rose for the ninth consecutive month, up 11.9 percent from January 2009. That's also the highest median ever for a January in the region. Houston now has a 6.1-month's supply of single-family houses available for purchase, which compares favorably to the national average of 7.2-month's as posted by the National Association of Realtors. And in one more bit of good news, foreclosure sales reported in the MLS fell by 30.1% in January compared to a year ago.