As reports continue to filter in chronicling the extraordinary growth in the Texas real estate market, it's worth highlighting a region that is helping to bolster the state's growth: Bryan-College Station. According to the most recent census information, the area sustained a 19.9 percent growth rate between 2000 and 2013, adding roughly 50,000 residents during that time period. And this trend does not seem to be slowing down anytime soon.
This population boom is having a corollary effect of boosting home sales and the price of homes in the area. According to the Bryan-College Station Regional Association of Realtors database, this area is already on track to best 2014 and 2013 totals in terms of the number of units sold, the average days on the market and the price of homes.
The sustained population growth in Bryan-College Station is putting pressure on the region's housing supply.
Thus far, aside from a slight dip in units sold during April, 2015 has seen the number of houses surpass those sold in 2013 and 2014, with 2128 units sold through July. Only 2120 units had sold by this point in 2013, while agents only moved 2034 through July 2014. With the Texas housing market showing no signs of abating, the 2015 trend should continue to best previous years' totals. As July typically represents the peak of home sales, this number might decline, but if the current trends continue, these numbers should still outperform 2013 and 2014's sales.
Days on the market
As Bryan-College Station home sales surge this year, it should come as no surprise that the area is experiencing a housing inventory shortage. Thus far, through July, houses have been spending an average 96.86 days on the market, with this numbers trending down compared to earlier in the year, BCS Realtor reported. In 2014, houses were lasting roughly 114 days on the market before being sold, while 2013 saw houses go 128 days before finding a buyer. For most economist and real estate experts, six months is the typical benchmark of a balanced market. Any less than six months, which is roughly double the inventory level in the Bryan-College Station market, indicates a buyer's market.
The monthly average prices for homes in the Bryan-College Station region are also exceeding their 2013 and 2014 counterparts. Thus far this year through July, home prices have averaged about $214,103, or about $15,744 more than the average price through the first seven months of 2014, BCS Realtor reported. Monthly totals for 2015 have also outperformed the totals from the last two years month by month.
Roadblocks for homebuyers
According to The Eagle, many of the people moving to this area are more youthful and coming for the jobs in the booming biocorridor in this region. These new jobs are leading to more affluent homebuyers moving in, according to Bryan-College Station Regional Association of Realtors Executive Vice President Ed Berry.
"You look and see what's already being built, those manufacturing companies, the people they're bringing in are M.D.s, and Ph.D.s and they're not only bringing themselves, but their [sic] also bringing their staff with them in great numbers," said Berry.
However, with inventory steadily decreasing as home prices increase, new homebuyers are typically finding it difficult to find what they're looking for with such a limited selection currently on the market. As the number of units sold continues to reach peak levels, causing the Bryan-College Station housing inventory to tip into unbalanced market territory, home builders are needed to plug this gap with more homes.
Home sales in Bryan-College Station are exceeding those of the past few years.