77377 Real Estate Market Update | May 20, 2024

Hi neighbor,

Today I will be sharing with you our perspective on the local real estate market here in Tomball, Texas, specifically a market update for the neighborhood of 77377. Whether you are looking to buy, sell, or just keep an eye on the market, we look forward to being your resource.

What is happening in the real estate market in 77377?

We currently have 71 homes pending, with 9 homes sold in the last two weeks, averaging a sale price of $229 a square foot. Nine homes sold over the asking price, with one home selling 2% above the listing price.

Compared to the two weeks prior: Homes sold are slightly down from 16 sold, but the average sales price is up to $1,020,022 ($893,893 previously). Every home is different, with different features, so don’t forget to ask us for your annual equity review if you are curious about your personal home. You can request your free home evaluation here or email us here.

If we look at how fast the move-in-ready (modern) homes are going (must not be overpriced), the demand in this area has not surpassed the supply, making it still a great time to sell. Buyer agents around Houston are seeing a slow in the real estate market, but it isn’t affecting every neighborhood. I know the interest rates rising has been one deterrent from some buyers purchasing right now, but that isn’t your ideal buyer anyways!

The most desirable homes in the area are still selling the first weekend or first week they hit the market (a really good coming soon campaign, like we do at Jo & Co. allows you to sell faster, for more money).

Check out the graphic below for a larger overview of the real estate market for the last two weeks in 77377.

77377 Real Estate Market Update _ May 20, 2024

My Two Cents: What I learned this week

Interest rates have finally dipped and I am so eager for summer. If you are thinking about buying the market timing couldn’t be of more perfect timing. If you are thinking about selling, know buyers are going to be hitting the market this summer in droves. Please schedule a call with me if you are looking to buy, sell, or invest. Jo

What is happening in the real estate market nationally?

Mortgage rates declined last week thanks to the consumer price index numbers. Mortgage application submissions climbed for a second consecutive week, retail sales underperformed in April, and home builder sentiment slipped in May. Housing starts increased while building permits decreased in April. Continuing jobless claims inched up and initial jobless claims fell.

MORTGAGE RATES CURRENTLY TRENDING THIS WEEK'S POTENTIAL VOLATILITY

Notable News

  • Freddie Mac senior vice president and head of single-family acquisitions talks affordability and repurchases.  Listen Now >>
  • Low supply will keep pricing pressure on housing through the end of the year.
    Watch Now >>
  • Builders are cutting prices to keep buyers interested.  Read Now >>

Market Recap

  • Mortgage application submissions climbed for a second consecutive week, rising a composite 0.5%. The Refinance Index increased 5% from the previous week and was 7% higher than the same week one year ago. The seasonally adjusted Purchase Index decreased 2% from one week earlier.

  • Inflation on the consumer price index (CPI) was cooler than expected in April, up 0.3% versus the 0.4% expected increase. All other predictions were spot on. Annual inflation was at 3.4%, which was lower than the previous month’s level. Core CPI was at 0.3% month-over-month, which also continued a downward trend from the previous month. Annual inflation on the core index was at 3.6%. The main costs keeping inflation higher were energy (up 1.1% monthly), motor vehicle insurance (up 1.8% monthly), and apparel (up 1.2% monthly). Shelter costs, which make up 45% of the core index, rose just 0.4% month-over-month and actually declined annually.

  • Retail sales underperformed in April as well, with a 0% change month-over-month. They were expected to increase at least 0.4%.

  • The National Association of Home Builders (NAHB) housing market index slipped down to 45 in May. It was expected to remain unchanged at 51, but all three components of the index (single family sales: present, single-family sales: next six months, traffic of prospective buyers) took a substantial hit – likely due to higher mortgage rates and stubborn inflation levels.
  • Building permits were at a seasonally adjusted annual rate of 1,440,000 in April, a 3% decrease from the month before. Housing starts were at a seasonally adjusted annual rate of 1,360,000, and although this was lower than expected, it was still a 5% increase from the month before.

  • Continuing jobless claims climbed by 13,000 during the week ending 5/4, bringing the total level up to 1,794,000. They were expected to fall. Initial jobless claims retreated to a level of 222,000, which was still higher than expected but 10,000 lower than the month before.

52-week-average-mortgage-rates-for-may-20-2024

Review of Last Week

DOW OVER 40,000!... The blue-chip Dow crossed 40,000 for the first time ever, and the other major indexes scored weekly wins, as an encouraging inflation report boosted traders' expectations for Fed rate cuts this year.

There still were some downbeat reads. Retail Sales went nowhere in April, showing consumers pulling back spending. We also got weak manufacturing output, and another monthly drop in the Leading Economic Index. 

But the Consumer Price Index showed year-over-year improvement in inflation after two months of hotter CPI reads. Of course, 3.4% overall and 3.6% core inflation remain a good distance from the Fed's 2% target.

The week ended with the Dow UP 1.2%, to 40,004; the S&P 500 UP 1.5%, to 5,303; and the Nasdaq UP 2.1%, to 16,686.

Inflation-hating bonds also dug the CPI news, the 30-Year UMBS 6.0% UP .11, to $100.18. In Freddie Mac's Primary Mortgage Market Survey, the national average 30-year fixed mortgage rate continued to move down. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up-to-the-minute information.    

DID YOU KNOW… Realtor.com reports that last week had the highest number of homes for sale since August 2020. They called this "a significant milestone," as "buyers are seeing more homes for sale than they have in almost four years." 

Market Forecast

HOME SALES, FED MINUTES, CONSUMER SENTIMENT... For April, Existing Home Sales are forecast up a bit, New Home Sales off a tad. Economists will scrutinize FOMC Minutes from the Fed's last meet for indications of when we'll see the first rate cut. The final read on University of Michigan Consumer Sentiment is expected to remain at a low level.

Summary

April Housing Starts jumped by almost 6% over March, all due to multi-families. With single-families, builders focused on completions, which were up 15.4%--the second largest monthly gain in five years!

That focus on completions was reflected in a modest dip in April Building Permits, while the May builder confidence index retreated on economic concerns and new regulations trade groups say will increase construction costs.

Optimal Blue reports purchase mortgage rate locks rose in April for the first time in more than two years. Their analysts called it “a particularly encouraging sign that mortgage production may be turning a corner.”

Can we sell yours?

So if you are in need of a listing agent, we would love the opportunity to see your home and meet you of course. My husband, Edward, and I, look forward to being the brokerage and team for you! You can reach out to us via email: [email protected] & [email protected] or telephone: 832-493-6685.

Read more:

If you are curious 'How to get more money for your home when listing it for sale', check out this blog post.

I hope you have found this blog post super helpful. If there is anything else we can do for you, including helping you sell (or buy) a home, I would be honored to assist. I hope you have a great day/evening. Cheers, E + J.

download_our_local_maps

We are so happy you found our little corner of the interwebs. We look forward to y'all reaching out to us. We love to answer questions and welcome them. Recently we created some local maps, and you can download those by clicking the image/link above. Below, you will find an index of some very helpful information to assist you in learning more about the Houston suburbs. If you are relocating to our neck of the woods, we hope you reach out to us, because we would love to help you by being your local realtor and friend. Thoughtfully written for you. Hugs, Jo.

We are Waiting for You

If you are looking to relocate to the Houston Area, we would love to meet you, and hear your story. Below you will find all of my contact information, as well as some homes for sale in the area. We truly look forward to hearing from you! P.S. Don't forget to check out our YouTube Channel!

If you are overwhelmed..

Now if you are feeling overwhelmed on where you should plant your roots, I would love to talk to you. You can schedule a call with me by click this link: http://byjoandco.com/call or just send us an email: [email protected]. There are some amazing communities all over the Houston suburbs. In this post, https://search.byjoandco.com/blog/best-neighborhoods-in-houston/, I deep dive into all the different suburbs/neighborhoods that you might want to consider, and why. There are many resources here, so please reach out if you are curious what to look at next! Thank you for trusting us.

What next?!

• Navigate our Blog: https://byjoandco.com/categories-to-help-you-navigate-the-blog/
• Download our Moving to Texas ebook! http://byjoandco.com/movingtotexasebook.
• Download our Where to Live in Houston Texas ebook! http://byjoandco.com/wheretoliveebook.
• Browse our Ebooks and Relocation Guides: http://byjoandco.com/ebooks
• Schedule a phone call or appointment with us! http://byjoandco.com/appointment.
• Email us! [email protected].
• Looking for a buyer’s agent? Fill out our buyer questionnaire! http://byjoandco.com/q.
• Ready to find your dream home? Search, http://search.byjoandco.com.
• Subscribe to our YouTube Channel: http://byjoandco.com/youtube.


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