Heights Real Estate Market 2021

Heights  Real Estate Market

The average sales price of a Heights single family home is now around $705K. (This is about twice the Houston average of $350K)

The chart below shows Heights* home sales for roughly the last 6 months. The lowest price was just under $300K; the top price was $1.7M.

The low end of $300K will buy you a “tear down” in Brooke Smith on a 5000SF lot (I have always loved Brooke Smith). You are essentially buying the lot with a scruffy little house to be torn down.

For $350K you could have bought a patio home on a tiny lot on the East side of the Heights. The ANC Homes example below is one of them.


ANC Homes-612 Hawthorne ~$350K

On the high end of the spectrum are the homes priced over a million dollars. $1.7M was the highest sold price in the last 6 months. There are several homes on the market now though over $2M.

An example of a luxury home is my listing at 705 E 10th 1/2 St.  4240 SF Modern Farmhouse on 6550 SF lot. $1.49M. Zoned to Harvard Elementary.   https://www.har.com/s/30352C666ac

Heights Modern Farmhouse

Heights Modern Farmhouse

In between these two prices is a vast array of bungalows, renovated bungalows, new homes on narrow lots. It is cheaper to build up 2-3 stories rather than build out and pay for more land. Thus everything new is tall & skinny, or very expensive.

See also my previous post on Sales Volume of Heights Homes.

See the chart showing summary of Heights home sales below. The pdf-to-jpg converter did not work well, so it is blurry. You can download the pdf of Home Sales here. Heights Home Sales-180 Days-CMA-R

Heights Real Estate Price Range

Heights Home Sales

A Few Facts about Sales of Heights Real Estate Market:

The Ratio of List Price (LP) to Sales Price (SP):

The chart above shows sales sales price of a typical Heights house for the last few months is about 98% of list price. LP/SP = 98.17%.  Over the years this average ranges from 97-99%

However, this doesn’t mean very much.  Some homes sell for over list price (These are typically exceptional homes in perfect location, or lot-value homes that are hard to price), while others (very few) sell for 4-5% discount.

Days on Market:

The average Days on Market (the time period between listing a home and getting it under contract) has been about 80 days lately.  This varies wildly of course: some homes sell within a few days, others take many months. 90-120 days is historically typical. This is shown in column titled CDOM (Completed Days on Market)

Months of Inventory for the Heights

A neutral market (neither a buyer’s market or a seller’s market) is about 5-7 months of inventory. There are currently around 200 single family homes on the market in the Heights (Active status on MLS) and they are selling at roughly 90/month. This makes the months of inventory to be ~2.2 months. This is extremely low. Definitely a Seller’s Market.

New Home Sales

New construction in the Heights is strong. Of the almost 1000 Heights homes sold in 2020, about 17% were new homes.

Million Dollar Homes

Million Dollar homes in the Heights used to be rare (back when it was the scruffy little neighborhood with the cool old homes). However, last year 126 homes were priced over a million dollars. Just about all homes being built on full size lots now are over this price point. This of course relates to land prices. If you spend $400-$500K on a lot, you aren’t going to build a cheap house on it.

*Note: For this blog post I am looking at Heights single-family homes; not townhomes or condos. “Heights” is defined  as the area bounded by Shepherd, 610 N loop, I-45 and I-10. It encompasses Houston Heights, Woodland Heights, Sunset Heights, Brooke Smith and a myriad of other neighborhoods

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