August Brings Big Boost in Houston Home Sales as Inventory Hits Decade High
Houston’s housing market showed surprising strength in August, with home sales climbing and inventory hitting its highest August level in over a decade. It's good news for homebuyers who have spent the last few years facing tight competition and limited choices—and a sign that Greater Houston’s real estate market may be entering a more balanced phase.
According to the Houston Association of Realtors’ (HAR) latest Housing Market Update, 8,138 single-family homes sold in August, up nearly 12% compared to the same time last year. And with active listings up more than 30%, buyers across the region are finally seeing more options and less pressure.
“Buyers have more choices and negotiating power than they’ve had in more than a decade,” said HAR Chair Shae Cottar of LPT Realty. “Sellers continue to benefit from solid demand. As mortgage rates continue to ease, I anticipate buyer activity will remain solid in the coming months.”
Why Is This Happening?
Several factors are helping fuel Houston’s late-summer surge:
Easing mortgage rates: After hitting 20-year highs last year, mortgage rates have shown signs of retreating. According to Freddie Mac, the average 30-year fixed mortgage rate in August hovered around 6.9%, down from over 7% earlier this year.
More homes hitting the market: After years of tight supply, homeowners are listing again—likely encouraged by strong prices and growing buyer interest. Houston had 39,374 active listings in August, the most since 2015 for this time of year.
Stable pricing: Unlike in some overheated markets, Houston hasn’t seen wild price swings. That steadiness is helping build buyer confidence, even with mortgage rates still relatively high.
National influence: The National Association of Realtors reports that homebuyers across the U.S. are slowly regaining leverage as more inventory becomes available. Houston is one of the metros leading that shift.
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What’s Happening with Home Prices?
While sales are rising, prices have remained steady—which is great news for buyers trying to plan and budget.
- Average single-family price: $422,703
- Median single-family price: $335,000
Those numbers are virtually unchanged from last year, suggesting that even with more activity, price inflation is not currently an issue in the Houston market.
What About Townhomes and Condos?
The story looks a little different for townhomes and condos.
In August:
- Sales were down 13.5% from last year
- Average price: $248,799 (down 4.4%)
- Median price: $210,000 (down 7.1%)
- Inventory: 8.2 months — the highest level since August 2011
This slowdown could reflect affordability concerns, rising insurance costs for multi-family units, or simply more competition from the single-family market where buyers now have more to choose from.
A Look at Houston by the Numbers
(Source: HAR.com)Mobile Sidebar Ad
What It Means for Houston-Area Buyers and Sellers
If you're shopping for a home in Katy, Cypress, Spring, Tomball, or across Greater Houston, this could be your window. Inventory is high, prices are holding steady, and the competition isn’t nearly as fierce as it was during the peak pandemic years.
If you’re thinking about selling, strong demand is still there—especially in the $150K to $500K price range—but buyers now have more leverage. Homes may take a little longer to sell, but realistic pricing and updated presentation still go a long way.
What’s Next?
HAR will release its August Rental Market Update on Wednesday, September 17. That report will offer deeper insight into how Houston’s lease market is responding to these shifts—especially for renters considering a move into homeownership.
Houston’s market seems to be finding its footing. After years of unpredictability, we’re seeing signs of a market that’s more balanced—for both sides of the table. Whether you’re buying your first home, investing in a condo, or selling your longtime family house, it’s a time of new possibilities in real estate.
Stay with My Neighborhood News for more local real estate trends, community updates, and neighborhood insights across Katy, Cypress, Tomball, Spring, and West Houston.
Tiffany Krenek has been on the My Neighborhood News team since August 2021. She is passionate about curating and sharing content that enriches the lives of our readers in a personal, meaningful way. A loving mother and wife, Tiffany and her family live in the West Houston/Cypress region.
