Houston, Texas

In the city of Houston, Texas, $179,400 is the house value median. The worth of homes in Houston has increased a significant amount in the last year (7 percent). 2.2 percent is the amount it is predicted that houses will increase in the following year.

Per square foot, the list cost median is $161 in Houston. The Metro Area of Houston-The Woodlands-Sugar Land has a lower per square foot list cost median of $120.

$328,000 is the presently listed cost median of houses in Houston.

In Houston, TX, $1,599 is the rent cost median. The Metro Area of Houston-The Woodlands-Sugar Land  has a higher rent cost median which is $1,650.

One factor that affects the real estate economy as well as the overall US economy is the rate of foreclosures. A low foreclosure rate will help create a strong economy. A high foreclosure rate could contribute to a troubled economy.

For any particular location, the lower the foreclosure rate, the higher the value of real estate.

Homeowners need to do their best to prevent having a foreclosure because the consequences can be very negative for their economic future.

There is a first thing that a homeowner experiences in the process of a foreclosure. And that first thing is mortgage delinquency.

What is mortgage delinquency? It is the condition of a home owner missing a payment on their mortgage. 

Missing a payment on a mortgage is a big concern for the bank. This is because the bank is likely to think that the homeowner is in a financial slump and is having trouble paying bills.

If the homeowner continues to miss making mortgage payments, misses the deadline provided by the bank, and is four months behind on making payments, the foreclosure process will usually start.

The city of Houston, TX has 1.2 percent of its homeowners being delinquent on their mortgages. The United States has a higher mortgage delinquency rate of 1.6 percent.

Let’s go to the commercial real estate market. We are going to look at the new construction senior living market in Houston.

More than any other city in the state of Texas, developers of new senior living projects are developing vertically rather than outward. In more densely populated areas, this new trend of high rise results in smaller pieces of land used for development.

Currently this trend in Houston is ahead of the city of Dallas. Already, the city of Houston has a total of 4 or 5 multistory senior living buildings – multistory defined as mid to high rise in height.

The cost of land is more pricy in urban areas. To help afford the cost of the land, developers are choosing to build communities which are mid-to high rise.

The Pines of Bellaire, The Tradition Buffalo Speedway, and the Village of Southampton (the Asian focused community), are 3 multistory senior development projects which are currently being constructed or are in lease-up.

A slowdown in senior housing construction is expected. This is because there is likely to be an absorption problem with all the new construction.

Once the absorption problem occurs, occupancy will decrease, but it is anticipated that the absorption problem will be temporary. It has been predicted that with the slowdown it will be several years before the rate of occupancy again achieves a high level.

With a strong economy, population that is growing and demographics that are strong, the occupancy rate of existing senior living centers as well as demand for new senior living centers are expected to increase in the future.

And let’s not forget the baby boomer massive group. National trends show that baby boomers will supply a generous number of residents to the senior living market.

The annual median household income for the city of Houston Texas is $61,708.