Real estate analysts believe Houston is the next hot housing market. Why should you build a house in Houston? Before you consult local home builders, here are some facts and statistics on the housing market.
Top Destination for Real Estate
Statistics indicate that there were 840,000 single-family houses built in 2018 alone. In Houston, there were 8,000 similar units constructed by local home builders in one month alone.
One of the factors driving growth is the migration of tech businesses to Texas. Companies like Oracle and Hewlett Packard have announced plans to move to the state. Houston is one of the top destinations for these companies. It ranks high for affordability, low tax rates, and limited barriers for entry.
Resilient Houston Job Market
The migration of large tech businesses has been attracting young professionals to the city. The job market continues to demonstrate resilience even after the lockdown. It has been one of the factors keeping the real estate industry afloat, despite the pandemic’s disruptions.
Statistics suggest that the job market will continue to grow in the next few years. The employment rate has grown steadily year after year by an average of 3.2%. Median incomes and property values show a similar trend towards positive growth.
Real Estate Appreciation
The housing market has a high appreciation rate, ranking it among the top 20 in the market. Data from Zillow indicates the growth in home value was up 7.8% this year, from 5.8% in 2020.
If you want to build on your own acreage, it may be time to consult local home builders. The growth is much higher than most other cities across the country. Analysts suggest the positive trend may last for at least the next three years.
Ideal for Rentals
Additionally, there is a rise in demand for rentals. It has been triggered by a shortage of houses and a population of young families moving to Houston. Those who can’t afford new construction houses are opting to rent instead. The occupancy rate stands at 52% in metropolitan areas.
Data indicates that millennials make up 43% of the city’s population. And coupled with the high occupancy rate, the prospects for renting new houses in Houston are better than in other cities. Rental property is a viable way to generate income and value from your assets.
Best Place for Career and Business
Houston also ranks as one of the best places for starting a career by Forbes. It has a low cost of living and mild weather, keeping local home builders busy with new constructions. Furthermore, it is among the most diverse cities in the United States.
There are many public schools, great places to live, and vibrant nightlife. Houston has the lowest cost of living and has been ranked multiple times as one of the best places to live. All these factors make it attractive for Millennials and Generation Z home buyers.
All indicators suggest that Houston is becoming a leading real estate market. If planning to build a home on your land, it is advisable to consult experienced local home builders. You can also call Stone Meadow Homes if you are looking for acreage homesites for sale near Houston.