Houston’s luxury real estate market hit new heights last year, but is the landscape the same for buyers in 2022? Will the market’s record bullish momentum continue and will there be stocks to support it? What new developments should you be aware of in Houston’s hottest neighborhoods?
To get an overview of the residential market, I contacted Demetrice Ballengera real estate expert with a Houston-based luxury brokerage firm Baker & Co.. An industry inside Houston’s first-time homebuyer market, Ballenger has a finger on what’s happening with local developers, tracking everything from “land acquisition to selling and marketing new communities.” “. “Currently in the pipeline there are 340 homes with an average sale price of $350,000. The timeline spans the next 24 to 36 months for completion,” he says.
Buyers are already lining up to get a piece of the new development. “I have seven contracts with prices starting at $344,000 on a gated community of 24 homes. It is located in [Houston’s] downtown, where most of the early projects are being built. We’re just prepping the site right now and they’re selling out very quickly,” said Ballenger, who launched his real estate career in Houston more than six years ago.
Jaime Baker, broker/owner of Baker & Co., brought Ballenger into the business and has seen the dynamics of the Houston market change over the decades. Baker’s routes in Houston date back to the 1800s. Four generations of his family were involved in the housing market beginning in 1840 when the Bakers established a successful general business.
Baker’s great-grandmother, Lucille Buckner, was instrumental in developing a local multi-listing service that was the basis of today’s MLS used by all real estate agencies in the area. Several generations later, Jaime Baker is now recognized as an industry innovator as an adopter of technology and utilizing social media for effective customer outreach.
According to Ballenger, the first-time buyer market consists largely of “people who wear scrubs when we meet,” a reference to Houston’s large and growing medical community. “We just can’t keep stock in stock,” he adds.
These communities include open-concept living spaces, large master suites, quartz kitchen islands, wine centers, and expansive freestanding bathtubs. Buyers recognize the value these new homes offer.
Examining the overall dynamics of the luxury market in Houston, Baker describes an evolution of the high end: “This is the first time that the luxury market in Houston is as sought after and in demand as it is now.”
She adds that new residents who moved to Houston from California “can’t believe what they can buy here.” A newly built, a 4,017-square-foot home in Bellaire, Greater Houston, features five bedrooms and 4.5 luxury, light-filled bathrooms. Asking price: $1.375 million.
As more people move to Houston, count on developers and builders to be ready with homes for first-time buyers and the luxury market.
Baker & Co. is an exclusive member of Forbes Global Propertiesa consumer marketplace and member network of elite brokerages selling the world’s most luxurious homes.