Because of Continuous rising home prices and fast home sales everywhere in today’s market, finding and closing on your dream home is not going to be easy.

August wrap up

According to First American’s latest Potential Home Sales Model, August’s reading represents a 70.8% increase from February 1993

while credit tightened dramatically due to increased economic uncertainty driven by the pandemic, credit availability has loosened since, boosting sales and market potential.

Because of that lending standards are tight, fewer people can qualify for a mortgage to buy a home, Credit loosening in August compared with last month increased housing market potential by 266,640 potential home sales.”

House-buying power, which increased 1.3% month over month in August, is yet another force driving the market. The house-buying power increase was driven by the combined impact of lower mortgage rates, which were 0.08 percentage points lower in August than the previous month

September progress

The demand for homes in the suburbs led to a decline in inventory by 36.2% for suburban homes, while urban homes inventory dropped by 12.3%t. The number of people shopping for homes also went up from August 2019 by 40.1% for the suburbs and 30.5% for urban areas. 

These housing trends show that many home buyers in Houston are migrating to suburbs due to the pandemic and the desire to have more space, which is causing the number of homes in those areas to drop. In the 10 largest metro cities, the number of homes for sale in the suburbs went down by 41.3% as well as urban homes dropping 34.3%.