According to Newsweek, Texas housing prices are facing a “correction,” that is, a decrease in sale value that more appropriately aligns with the house’s actual worth.
Will The Texas Market Correction Affect Lubbock Home Prices?
Going by recent trends, the answer is a resounding yes. Back in January, Lubbock housing prices fell 1%, which was higher than many other markets. If all of Texas is trending down in home prices, it appears that Lubbock will follow suit.
Which Texas Cities Are Seeing The Sharpest Decline In Home Values?
The leader of the pack is Austin, with a decline of 1.8% this past January, and a predicted further fall of .4% by October, leading experts to believe that by the end of the year, Austin will be “a complete buyer’s market.”
Additionally, some smaller Texas towns are expected to see steep declines, like Zapata at over 7% and Pecos at nearly 10%. Meaning a $200,000 home in Pecos might only be worth $180,000 by the end of the year- a significant loss if you are the seller.
What Is Causing Texas Home Selling Prices To Decline?
The very basic tenet of Supply vs. Demand seems to be the main driver of decreased home prices. There are many homes on the market and not enough people to buy them.
Which may lead you to ask, “WHY isn’t there enough people to buy them?” Because Texas is quite a populous state. Affordability, even with lower prices, is still a factor…