Inventory continues to shrink, Prices are on the rise and we have seen almost two straight years of positive home sales!!
It is true that there is no one single factor that has caused this surge in real estate but the main factors that are apparent and don't seem to be going away any time soon are HUGE.
The most obvious is the Houston economy and job growth, more and more companies (mostly oil and gas) are making Houston their primary place of business. The most notable move has been Exxon Mobil and their 385 acre corporate campus near the woodlands. This new state of the are campus is going to employee roughly 10,000 people 2,100 of them are being transfered from the Virginia campus (according to Forbes.com). Other major energy companies that have focused on the Houston area include BP and Anadarko Petroleum. There is no doubt that energy sector is the driving force for the local economy, but other companies like Waste Connections and DOW chemical have new recently started to migrate to Houston as well.
This influx of jobs combined with the shrinking available inventory has created a hot spot for investors, Rents are on the rise and as stated earlier home prices continue to increase. Below is the latest snap shot from the Houston Association of Realtors recapping the first couple of months of this year.
New Western Acquisitions