![Uncovering the Reasons Behind Houston's Luxury Market Spike](https://static.therealdeal.com/wp-content/uploads/2023/10/Uncovering-the-Reasons-Behind-Houstons-Luxury-Market-Spike-f-150x106.jpg)
Houston resi sales up 9% in January, second yearly gain since 2021
Single-family total dollar volume hit $2.3 billion for month
![Houston's Housing Market Sees Surprising Surge](https://static.therealdeal.com/wp-content/uploads/2024/02/Houstons-Housing-Market-Sees-Surprising-Surge-m-1400x875.jpg)
Houston’s housing market defied expectations in January, showing robust growth despite looming concerns over mortgage interest rates.
The 9 percent increase in single-family home sales in January compared with a 30 percent drop for the same period last year, according to the Houston Association of Realtors. This year’s performance marks only the second year-over-year increase in sales for the Bayou City since 2021.
The total of 5,010 units sold appears to signal a resumption of buyer confidence despite economic uncertainties such as ongoing inflation and interest rates that will remain above the rock-bottom levels of the pandemic and preceding years.
Modest increases in home prices trailed recent gauges of inflation overall, with the median in Greater Houston up by 2 percent, to $320,500. Total dollar volume was up 12 percent year-over-year, to $2.3 billion.
While the overall market saw a boost, results differed by segment. The media for homes priced between $500,000 and $1 million rose 17 percent year-over-year. Luxury properties priced above $1 million rose 15 percent. Premium real estate offerings have consistently outperformed other price points as they have remained largely inoculated from mortgage rate hikes.
The days on market for single-family homes showed modest improvement, decreasing from 60 to 58 days. However, months of inventory expanded to a 3.3-month supply, up from 2.6 months the previous year. That puts Houston slightly ahead of the national average of a 3,2-month supply.
The townhome and condominium submarket ran counter to the trend for single-family homes, with a 4 percent drop in sales last month. Townhomes and condos did better on price, though, with gains of 14 percent, to $247,430 and $223,000, respectively.
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![Uncovering the Reasons Behind Houston's Luxury Market Spike](https://static.therealdeal.com/wp-content/uploads/2023/10/Uncovering-the-Reasons-Behind-Houstons-Luxury-Market-Spike-f-150x106.jpg)
![Home Sales Over $10M on the Rise in Houston](https://static.therealdeal.com/wp-content/uploads/2024/02/ft_TX_Houston-Luxury-Sales-150x106.jpg)
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