Housing Prices in Texas Top Pre-Recession Amounts
In 2006, housing prices nationwide were at boom levels. But then the bubble burst, the Great Recession came upon us, and the housing market crashed. In 2016, the U.S. median home sales price was $236,000, 2% higher than it was in 2006, according to metrics from Realtor.com. Meanwhile, in Texas, all four metros ended up on the NAR’s top five price appreciation list.
Realtor.com chief economist Danielle Hale said housing prices alone didn’t create the 2007 crash. Rather, it was the rising prices resulting from subprime and low-documentation mortgages, along with overbuilding and over-flipping, which set the scene for the ultimate downturn. These days, she indicated, the increase in housing prices is backed by healthy fundamentals, such as job creation. She did indicate, however, that tighter inventory is creating higher prices in the face of demand.
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