HomesUSA.com reports “good news for buyers” as prices stabilize
Houston, TX – January 24, 2024 – Houston new home sales were higher last month, turning in strong year-end sales results as the outlook for 2024 brightens. Seasonal factors combined with the need to move inventory became “good news for buyers,” as the average 3-month new home price appears to be stabilizing, according to the monthly New Home Sales Report released today by HomesUSA.com and its CEO, Ben Caballero, the nation's top-ranked real estate agent. 
The HomesUSA.com New Home Sales Report uses Multiple Listing Service data – the most complete, current, and accurate information – from the Realtor Associations of Houston, North Texas, Austin, and San Antonio.
In December, the 3-month moving average of new home MLS sales in Houston was 1,933 versus 1,838 in November.
"Houston new home sales were strong and steady in 2023,” said Ben Caballero, America's No. 1-ranked real estate agent and CEO and founder of HomesUSA.com. “We also had good news for buyers as while the average new home price was a little higher in December, overall, the average price has been trending down the last several months. With leading economists expecting mortgage rates to improve, the outlook for 2024 is brightening for Houston builders and consumers alike,” he added.
Caballero also noted, “I expect that Texas will continue to lead the nation in 2024 because we are an attractive relocation destination for large companies with a ready labor pool. More jobs mean more housing, and in Houston, builders will continue to work diligently to create more inventory.”
According to the HomesUSA.com New Home Sales Index’s 3-month average tracking, Days on Market for new homes remains relatively stable. The 3-month average DOM in Houston was a little higher in December at 86.60 versus 83.18 days in November.
The overall new home price 3-month average in the Houston market was about $2,000 higher in December versus November, but nearly $25,000 lower than the average in July. Last month's average 3-month new home price locally was $402,971 versus $399,947 in November. It was $427,191 in July.
Seasonal pressure showed December was a repeat of November as the 3-month moving average of pending new home sales was flat in the Houston market in December at 1,692 versus 1,695 in November.
Inventory increased again in the Houston new home market last month, indicated by the higher number of MLS active listings. The 3-month moving average of active listings for new homes totaled 11,934 versus 11,856 in November.
HomesUSA.com is sharing its New Home Sales Report and New Home Sales Index before the Commerce Department releases its nationwide New Residential Sales Report for December, set for Thursday, January 25, 2024, at 10:00 am Eastern time.
The HomesUSA.com monthly report is based on closed sales recorded in MLSs by the 10th day of the following month. Sales reported late by agents are not included. The report features 3-month and 12-month moving averages for six essential market data, including Days on Market, sales volume, sales prices, a sales-to-list price ratio, pending sales, and active listings. Caballero explained the 3-month moving average indices track market seasonality, while the 12-month moving average removes the seasonality and tracks the longer trend.
Days on Market – New Homes in Texas (Exclusive Data)
The HomesUSA.com New Home Sales Index showed the 3-month moving average of Days on Market decreased in two of the four major new home markets in December. Houston’s DOM was 86.60 versus 83.18 days in November. In Dallas-Ft. Worth, the DOM decreased to 126.83 days versus 128.43 days in November. In Austin, the DOM increased to 93.75 days versus 86.71 days in November. In San Antonio, the DOM was 87.69 days versus 88.31 days in November. Caballero points out that new homes have significantly higher Days on Market or DOM than existing homes because most are listed while under construction. (See Chart 1: Texas New Homes Days on Market)
Texas New Home Sales Data
Based on all local MLS data, which is the most reliable and current source of all home sales activity, total new home sales were higher last month, according to the 3-month moving average. In Houston, December’s total sales were higher at 1,933 versus 1,838 in November. In Dallas-Ft. Worth, new home sales were 1,657 versus 1,618 in November. Austin new home sales last month were relatively higher at 852 versus 808 in November. In San Antonio, new home sales in December were 908 versus 907 in November. (See Chart 2: Texas New Home Sales)
Texas New Home Prices
The average prices of new homes were lower in three of the four major new home markets last month. Houston was the anomaly, as the average new home price was higher last month at $402,971 versus $399,947 in November. In Dallas-Ft. Worth, the 3-month moving average price for new homes decreased in December to $482,875 from $486,273 in November. Austin's 3-month moving average price also decreased in December to $492,066 from $500,831 in November. In San Antonio, the average new home price was $362,372 versus $364,319 in November. (See Chart 3: Texas New Home Prices)
Texas Sales-to-List Price Ratio
Cumulative new home sales continue to stabilize near 100 percent of the asking price. The 3-month moving average of the sales-to-list price ratio for December was 97.52 versus 97.68 percent in November. In Houston, the ratio was 97.93 versus 98.08 percent in November. Dallas-Ft. Worth’s ratio was 97.61 versus 97.76 percent in November. In Austin, the sales-to-price ratio was 97.35 versus 97.62 percent in November. San Antonio's ratio in December was 96.71 versus 96.83 percent in November. (See Chart 4: Texas Sales-to-List Price Ratio)
Texas Pending New Homes Sales Data
Based on local MLS data, pending new home sales were lower or flat in all four Texas major markets last month. Data shows pending sales in December were 5,433 versus 5,512 in November. In Houston, pending new home sales in December decreased to 1,692 versus 1,695 in November. In Dallas-Ft. Worth, pending new home sales last month were 1,888 versus 1,905 in November. In Austin, pending new home sales in December were flat at 1,066 versus 1,067 in November. San Antonio had a decrease in pending sales last month at 787 versus 845 in November. (See Chart 5: Texas Pending New Home Sales)
Texas Active Listings for New Homes
Data from the four largest Texas MLSs also shows the 3-month moving average for active listings increased in December to 29,662 versus 29,514 in November – the highest level this year. Three of the four Texas major markets posted higher active listings in December. Last month's active listings in Houston were 11,934 versus 11,856 in November. Dallas-Ft. Worth's active listings in December were 6,908 versus 6,840 in November. In San Antonio, active listings last month increased to 5,229 versus 5,153 in November. Austin was the exception, as active listings in December decreased to 5,591 from 5,665 in November. (See Chart 6: Texas Active Listings and Chart A: 12-Month Moving Averages)
About the HomesUSA.com New Home Sales Index
The HomesUSA.com Index is reported as both a 3-month and 12-month moving average of the Days on Market (DOM) for new homes listed in the local Multiple Listing Services (MLSs) for Dallas-Ft. Worth, Houston, Austin, and San Antonio. Created by Ben Caballero, founder and CEO of HomesUSA.com, it is the first Days on Market index to track Texas new home market and includes homes listed while under construction.
*Note: Texas data denotes a combination of its four largest new home markets – Houston, Dallas-Ft. Worth, Austin and San Antonio, which comprises the vast majority of new home sales and MLS data statewide.
About Ben Caballero and HomesUSA.com®
Ben Caballero, founder and CEO of HomesUSA.com, is a three-time Guinness World Record title holder for ‘Most annual home sale transactions through MLS by an individual sell-side real estate agent – current.’ Ranked by REAL Trends as America’s top real estate agent for home sales since 2013, Ben is the most productive real estate agent in U.S. history. He is the only individual real estate agent to exceed $3 billion in residential sales transactions in a single year (2022); the first agent to exceed $2 billion (2018, 2019, 2020); and the first agent to exceed $1 billion (2015, 2016, 2017). An award-winning innovator and technology pioneer, Ben works with more than 60 home builders in Dallas-Fort Worth, Houston, Austin, and San Antonio. His podcast series is available on iTunes and Google Podcasts. Learn more at HomesUSA.com |Twitter: @bcaballero - @HomesUSA | Facebook: /HomesUSAdotcom.
