SINCE JANUARY, THE FULSHEAR/KATY REAL ESTATE MARKET HAS witnessed consistent improvement month after month, yet only modestly. Buyers mostly have been “missing in action” though, and both Sellers and Agents have been anxiously searching for them. It’s like a game of hide-and-go-seek, “come out, come out wherever you are”. Yet, in May, the Buyers did just that. Most importantly, the results, on average, were very positive and thus rewarding for me to report.
May Results For Zip Code 77441:
Although, active inventory rose again, reaching a total of (276), this is only a mild concern because this was more than offset by a substantial increase in the number of Listings in Pending Status; which rose to (128) and well above the (103) in April. Impressively, the number of homes that Sold reached (79) which is THE HIGHEST EVER. This resulted in the important “Months of Supply” reaching its lowest level in several years; to just 3.5 months.
All good news? Unfortunately, not quite. The market is still confronted with the amount of New Homes that comprise nearly 50% of the total market. The biggest concern though, is exemplified by the attached image. There are actually two “faces” to this market depending upon who you are. Sellers in Homes priced below $500,000 are doing very well with shorter Days on the Market (DOM) coupled with Offers closer to List Price. They see a pretty young lady. Conversely, Sellers with homes priced above $500,000 see an old hag and are really frustrated with fewer showings, increasing DOM and downward pressure on Price.
As insight, normally the market first improves at the lower end and then filters upwards. I’m waiting patiently (yea, right!) along with Sellers to witness this phenomenon take place! In the meantime, Buyers should also see the market as a pretty young lady because this a VERY GOOD TIME to capitalize on lower interest rates and lots of great Listings!
May Results by Community.
Weston Lakes:
The results for May were mixed. The good news is that there were (13) Listings in Pending Status. Even better, is that (5) of these went under contract within the last (10) days, which shows that the market is active again with Buyers. Yea! Even more satisfying is that there were (14) homes that Sold. More than double that of April. Unfortunately, there was the other side of the proverbial “fence”. Active inventory rose in May to (60); a substantial increase from (51) in April. The major concern though, is the Days on Market where over half of those that Sold took more than 6-months to do so. Several a year or more. Active inventory is aging too, and not gracefully. Some Listings are nearing the 2-year mark. The message; Sellers are chasing too few Buyers and that means they need to be competitive on Price while having a home that excites Buyers.
Fulbrook:
A similar visual metaphor applies to Fulbrook. This one is a bit easier to see a white vase and two black faces. The market is a stark contrast between black and white too. At first glance, the results appear positive and all in “white”. There is a new Listing in Option Pending. It was our Listing and rewarding that it went under contract in just 6-days with multiple Offers. Wow! Even better? There were also (2) Listings that Sold. Both were Resales too. One was ours, the other Sold in just (9) days and Sold for $1,495,000. That was the extent of the good news. The “dark side” is revealed by Active inventory rising to (7) and the market remaining dormant for those Listed above $1 million. With the stunning natural beauty of Fulbrook, Buyers are missing out on not living in this extraordinary nature wonderland.
Fulbrook On Fulshear Creek:
The Award for best improved results for this year goes to Fulbrook on Fulshear Creek! It’s been very tough for Sellers here, so refreshing to see continued positive results the last couple of months. It appears the market here turned the proverbial “corner” with May continuing the upward trend posting positive results in every category. Active inventory remained the same at (26). There were also (8) Listings in Pending Status. Impressively, (11) homes Sold which was more than double that of April. Most importantly, the Resales fared well against the New. That hasn’t happened in a long time. In May, 57% of those in Pending and 45% of those that Sold were Resales. Both great news for Sellers and a warning to Buyers not to wait any longer to find a home here.
Cross Creek Ranch:
The results for May were both rewarding and impressive. In a month where Active inventory would normally rise, it declined from (123) in April, to (116) in May. The decrease was due to the increased in buying activity that resulted in (79) homes ending the month in Pending Status. An increase of 13%. There were also (34) homes that Sold and did so at a remarkable average Sales Price of $451,220. Sellers still have a fierce battle against the New Homes that comprised 53% of the Active homes on the market, 58% of those in Pending and 47% of those that Sold. Yet, if this was a boxing match, this round would be deemed a draw…
Fulshear Run:
Not too much I can think of to say. It’s just another good month for this remarkable Trendmaker neighborhood. Active inventory increased by (1) to a total of (11). That might have been a concern, yet it is not because they broke ground on more New Homes, which is an indication of the confidence of the Builder. There are (3) Resales available though. Since this neighborhood is dominated by the New, we’ll see how well they compete. May also replicated April with (3) homes in Pending Status. Ho hum…just more boring good news!
Summary
Fulshear is analogous to watching your child grow up. On a daily basis, no noticeable change. A slight bit of difference over several months, yet over the years it is dramatic as a child grows from a toddler, to a grade schooler to a teen. The same is true of Fulshear. Not that much change to witness in a month, but over a year it becomes quite noticeable with new schools, shopping centers and restaurants now populating the area. However, the most visible change today is the widening of FM 1093 to a 4-lane, divided highway…right thru the heart of downtown.
Although FM 1093 is under construction (see sketch below), it is hard to visualize the transformation that will occur once completed. In fact, just 1 ½ years ago, it would have been impossible to imagine what is taking place today. Consider this; FM 1093 west of the Grand Parkway was just a 2-lane country road. Really! It wasn’t heavily travelled and was without most of the retail centers that now heavily populate the entire north side. Just imagine what will happen over the next 18-months.
It is the desirability of Fulshear that begets the growth. And, the growth will not be subtle, it will be exponential and that should prove to be very exciting to not only witness, but rather to be able to experience it firsthand. That can only happen though, if you live here. And, there can’t be a better place to call home!