Texas new homes market shows signs of returning to normal

DALLAS, Nov. 22, 2021 (GLOBE NEWSWIRE) -- The Texas new home market appears to be trending towards a more balanced state as new home inventory jumped statewide last month, according to a new monthly report from HomesUSA.com. Statewide new home listings increased to 14,260 in October, up from 13,301 in September, according to the 3-month moving average.

Dallas-based HomesUSA.com also reports the record pace of Texas new home sales showed signs of stabilizing last month. While the average Days on Market for a new home was 53 days – a record low for the HomesUSA.com New Home Sales Index – the improvement was just one day lower than in September. However, new home prices continued to push higher in October to $419,341 from $411,967 in September per the 3-month moving average of new home sale prices.

The HomesUSA.com October 2021 new homes report, for Dallas-Ft. Worth, Houston, Austin, and San Antonio, is based on data from the North Texas Real Estate Information Systems, Houston Association of REALTORS, Austin Board of REALTORS Multiple Listing Services, and the San Antonio Board of REALTORS.

“Texas’ new home market is becoming more balanced,” said Ben Caballero, owner of HomesUSA.com and world record holder for most home sales. “And the best news is the increase in inventory. Sales activity also remains robust as Texas continues to be the nation’s leader for new home sales,” Caballero explained.

Caballero added that a two-month jump in Austin’s average new home price is significantly influencing the statewide price increase. In October, Austin reported a record average new home sales price of $504,619, the highest in the state. Caballero explained that September's unusually high number of 28 multi-million-dollar sales averaging $2.2 million contributed to this record number. By comparison, August had 17 multi-million-dollar sales averaging $1.5 million, and October had 15 multi-million-dollar sales averaging $1.7 million.

Caballero also noted that providing the most current and comprehensive information about Texas' new home sales remains an ongoing challenge. “New homes are selling so fast that we estimate as much as half, or more, of all new homes are not entered into the MLS (Multiple Listing Service). However, the MLS data remains the most accurate and timely new home sales data available. No other source captures new homes sales activity as quickly and accurately,” Caballero said.

Statewide new home sales were stable in October, as the 3-month moving average was 3,061 homes sold versus 3,104 sold in September. Caballero pointed out that MLS data shows new home sales down slightly but that is likely a reflection of new homes not being listed in the MLS and not because builders are selling fewer homes. The 3-month moving average of pending new home sales statewide in October was down noticeably with 3,172 sales versus 3,932 in September.

Caballero is sharing the HomesUSA.com New Homes Report in advance of the release by the Commerce Department of its nationwide New Residential Sales Report for October 2021, set for Tuesday, November 23 at 10:00 am Eastern.

Caballero noted the monthly HomesUSA.com report includes both 3-month and 12-month moving averages for all essential market data, including Days on Market, sales volume, sales prices, a sales-to-list price ratio, pending sales, and active listings. 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 fell in two of the four Texas major new home markets. Houston’s DOM was 66.97 days in October versus 67.31 days in September. In San Antonio, the DOM was 47.32 days in October versus 48.97 days in September. The DOM in Austin was slightly higher at 18.20 days last month versus 17.29 days in September. The DOM for Dallas-Ft. Worth also slightly increased to 52.19 days in October versus 52 days in September. (See Chart 1: Texas New Homes Days on Market)

Texas New Home Sales Data
Total new home sales, solely based on MLS data, was marginally lower statewide in Texas with mixed results in the four major new home markets last month, according to the 3-month moving average. In Dallas-Ft. Worth, October sales were 951 versus 943 in September. Houston sales were 1,314 in October versus 1,310 in September. San Antonio posted October sales of 405 versus 458 in September. In Austin, October sales totaled 391 versus 392 in September. (See Chart 2: Texas New Home Sales)

Texas New Home Prices
Low inventory of new homes helped drive up the average price of new homes in Texas for the 12th straight month. Austin's 3-month moving average price – the highest among the top four markets – was $504,619 in October versus $480,157 in September. Dallas-Ft. Worth reported its 3-month moving average price for new homes was $436,924 in October versus $433,882 in September. In Houston, the average new home price was $404,453 in October versus $402,578 in September. Also, the San Antonio average new home price in October was $345,388 versus $332,362 in September. (See Chart 3: Texas New Home Prices)

Texas Sales-to-List Price Ratio
New home sales statewide and in Dallas-Ft. Worth, Houston, Austin, and San Antonio remained at nearly 100 percent of the asking price. Statewide, the 3-month moving average of the sales-to-list price ratio in October was 99.417 percent versus 99.430 percent in September. In Dallas-Ft. Worth, it was 99.971 percent in October versus 99.954 percent in September. In Houston, it was 98.971 percent in October versus 98.990 percent in September. In Austin, the sales-to-price ratio was 99.905 percent in October versus 99.868 percent in September. San Antonio's ratio was 99.052 percent last month versus 99.198 percent in September. (See Chart 4: Texas Sales-to-List Price Ratio)

Texas Pending New Homes Sales Data
Based solely on MLS data, pending new home sales totals were lower statewide and in each of the four major new home markets in Texas. Statewide MLS data shows pending sales in October were 3,172 versus 3,932 in September. Houston’s October pending sales were 1,320 versus 1,650 in September. Dallas-Ft. Worth pending sales in October were 1,114 versus 1,343 in September. In San Antonio, pending sales last month were 402 versus 530 in September. Austin's pending sales in October were 337 versus 409 in September. (See Chart 5: Texas Pending New Home Sales)

Texas Active Listings for New Homes
MLS data shows the 3-month moving average for active listings statewide jumped significantly in October, with 14,260 versus 13,301 in September. All four major Texas new home markets – Dallas-Ft. Worth, Houston, Austin, and San Antonio – posted higher active listings last month. Dallas-Ft. Worth active listings in October were 2,654 versus 2,575 in September. In Houston, last month’s active listings were 7,756 versus 7,234 in September. Austin’s active listings were 1,842 in October versus 1,603 in September. San Antonio reported active new home listings last month were 2,008 versus 1,889 in September. (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 the four largest Texas markets, including 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's new home market and includes homes listed while under construction.

About Ben Caballero and HomesUSA.com®
Ben Caballero, founder and CEO of HomesUSA.com, is the world record holder for "Most annual home sale transactions through MLS by an individual sell-side real estate agent." 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 agent to exceed $1 billion in residential sales transactions in a single year, a feat first achieved in 2015 and repeated each year through 2018 when he achieved more than $2 billion. 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. An infographic illustrating Ben’s sales production is here. Learn more at HomesUSA.com |Twitter: @bcaballero - @HomesUSA | Facebook: /HomesUSAdotcom.

Note for journalists: You may contact Ben Caballero directly on his cell at (214) 616-9222 or by email at ben@homesusa.com.

"REALTOR® is a federally registered collective membership mark which identifies a real estate professional who is member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics."

Media Contact:
Kevin Hawkins
(206) 866-1220
kevin@wavgroup.com

Image: Ben Caballero
https://www.homesusa.com/wp-content/uploads/2018/09/Ben-Caballero-Portrait-Grey-4288x2848.jpg

Individual Chart images:

Chart 1: Texas New Homes Tracking - Days on Market – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-1-Texas-Days-on-Market.jpg

Chart 2: Texas New Home Sales – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-2-Texas-New-Home-Sales.jpg

Chart 3: Texas New Home Sales Prices – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-3-Texas-New-Home-Sales-Prices.jpg

Chart 4: Texas Sales-to-List-Price Ratio – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-4-Texas-Sales-to-List-Price-Ratio.jpg

Chart 5: Texas Pending New Home Sales – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-5-Texas-Pending-New-Home-Sales.jpg

Chart 6: Texas Active Listings for New Homes – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-6-Texas-Active-Listings.jpg

Chart A: Texas 12-Month Moving Averages – New Homes – October 2021: https://homesusa.com/wp-content/uploads/2021/11/Chart-A-12MonthChart-DataOnly.jpg

Image: https://www.globenewswire.com/newsroom/ti?nf=ODM5ODQyOSM0NTc2MTg4IzUwMDAyODkwMQ==
Image: https://ml.globenewswire.com/media/OWM0N2U4ZmMtMGYyOS00NmJiLWJiMzktMWVlZTI3MmIxYTZjLTUwMDAyODkwMQ==/tiny/HomesUSA-com.png

Image: Primary Logo

Chart 4: Texas Sales-to-List-Price Ratio – Oct. 2021
Image: https://ml.globenewswire.com/media/dcb8ecd4-636a-4f77-a383-c48f3e53805d/medium/chart-4-texas-sales-to-list-price-ratio-oct-2021.jpg

New home sales statewide and in Dallas-Ft. Worth, Houston, Austin, and San Antonio remained at nearly 100 percent of the asking price
Chart 1: Texas New Homes Tracking - Days on Market – Oct. 2021
Image: https://ml.globenewswire.com/media/f6119255-2fd9-4455-be3b-02f4970e4022/medium/chart-1-texas-new-homes-tracking-days-on-market-oct-2021.jpg

The HomesUSA.com New Home Sales Index showed the 3-month moving average of Days on Market fell in two of the four Texas major new home markets.
Chart 2: Texas New Home Sales – Oct. 2021
Image: https://ml.globenewswire.com/media/b6793cea-04f0-4bb0-bced-c0f99f7f7540/medium/chart-2-texas-new-home-sales-oct-2021.jpg

Total new home sales, solely based on MLS data, was marginally lower statewide in Texas with mixed results in the four major new home markets last month, according to the 3-month moving average.
Chart 3: Texas New Home Sales Prices – Oct. 2021
Image: https://ml.globenewswire.com/media/5e94cf74-6201-4e80-9820-c7a24355df44/medium/chart-3-texas-new-home-sales-prices-oct-2021.jpg

Low inventory of new homes helped drive up the average price of new homes in Texas for the 12th straight month.
Chart 6: Texas Active Listings for New Homes – Oct. 2021
Image: https://ml.globenewswire.com/media/9cc10653-5b52-4340-aed6-a54df5767076/medium/chart-6-texas-active-listings-for-new-homes-oct-2021.jpg

MLS data shows the 3-month moving average for active listings statewide jumped significantly in October, with 14,260 versus 13,301 in September.
Chart A: Texas 12-Month Moving Averages – New Homes – Oct. 2021
Image: https://ml.globenewswire.com/media/21175e43-1427-42ae-93c4-0d09eb51ae07/medium/chart-a-texas-12-month-moving-averages-new-homes-oct-2021.jpg

The monthly HomesUSA.com report includes both 3-month and 12-month moving averages for all essential market data, including Days on Market, sales volume, sales prices, a sales-to-list price ratio, pending sales, and active listings. The 3-month moving average indices track market seasonality, while the 12-month moving average removes the seasonality and tracks the longer trend.
Chart 5: Texas Pending New Home Sales – Oct. 2021
Image: https://ml.globenewswire.com/media/b2f0f425-d70c-42ef-a663-6fd42b9cdf25/medium/chart-5-texas-pending-new-home-sales-oct-2021.jpg

Based solely on MLS data, pending new home sales totals were lower statewide and in each of the four major new home markets in Texas.
Ben Caballero, HomesUSA.com
Image: https://ml.globenewswire.com/media/79174af7-bc0b-449f-b487-47a510c8b24b/medium/ben-caballero-homesusa-com.jpg

Ben Caballero, founder and CEO of HomesUSA.com, twice has been recognized by Guinness World Record title for "Most annual home sale transactions through MLS by an individual sell side real estate agent." 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.
Source: HomesUSA.com

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