Houston Has Most Top-Selling Master Planned Communities Again

The Houston area had most of the top-selling master-planned communities in the country again last year, with 12 in the top 50, according to RCLCO Real Estate Consulting.

Master-planned communities in the Bayou City took 22 percent of all sales in the top 50, representing over 7,500 sales.

Land Tejas and Starwood Land’s Katy development, Sunterra, was the highest-selling Texas community, taking fourth place with 1,325 sales, 2 percent more than 2023. Howard Hughes Corporation’s Bridgeland development in Cypress was next, at seventh place with 938 sales, 4 percent fewer than the year prior.

Texas took 21 of the 50 spots as lax regulations in the state continue to attract developers, while consumers in turn flock to the communities as resale inventory is low and mortgage rates remain elevated. Florida communities represented the majority of the top 50 with 38 percent of sales, followed by Texas with 35 percent.

The success of the master plan has been especially true in the Houston metro. The city of Houston is known for its lack of zoning regulations, but master-planned communities come with built-in land-use regulations.

Overall home sales have remained relatively flat in the metro for years. However, the dominance of master planned communities could be challenged. Home sales’ total dollar volume climbed 3.1 percent to $41.1 billion last year compared to $39.8 billion in 2023, and resale inventory steadily expanded, according to the Houston Association of Realtors.

“Following two years of declining sales, 2024 brought a welcomed balance to the Houston housing market,” said HAR Chair Shae Cottar, an agent with LPT Realty. The relatively strong sales activity bodes well for home buyers and sellers this year, he said.

Nationally, new home sales were 2 percent lower among the top 50 master-planned communities than they were in 2023. Demand for homes is still resilient, despite headwinds of election uncertainty, hurricanes and “sticky” mortgage rates, which was also helped by the exclusive incentives builders hedge in with new homes. On Thursday, the 30-year fixed mortgage rate reached its highest since early July at 6.93 percent, according to Freddie Mac.