Texas Housing Market Cools in Third Quarter of 2022
Housing activity slowed across Texas last quarter, according to the Texas Quarterly Housing Report released by Texas Realtors.
In the third quarter, 97,711 homes sold across Texas, down 10% from second quarter of 2022 and 14.8% from the third quarter of 2021. Active listings were up 61.4% over the year to 90,198.
While the $345,000 median sales price was 3.6 percent lower than it was in the second quarter, it is still 11.3 percent higher than the third quarter of 2021.
“We had two years of an unprecedented housing market,” said Russell Berry, chairman of Texas Realtors. “The number of homes being sold now is closer to sales numbers prior to the pandemic. While higher interest rates present a challenge for buyers, the good news is that buyers have more homes to choose from and are less likely to find themselves in a bidding war. Sellers may have to wait longer to get an offer, but home prices in many markets are still close to the all-time highs recorded earlier this year.”
Months of housing inventory increased from 2.1 months in the second quarter of 2022 to 2.7 months in the third quarter of 2022. This is a marked improvement from the third quarter of 2021, which only had 1.6 months of inventory. The Texas Real Estate Research Center considers six to 6.5 months of inventory a balanced market.
The typical home was on the market for 70 days, four more than the third quarter of 2021. Homes were on the market for 31 days and took 39 days to close.
