Houston real estate is hot this year. If you still have doubts about investing in Bayou City this year, here’s why you should consider doing so now.
Should you invest in the Houston real estate market?
From population growth and housing demand, to economic expansion and job creation, there are many reasons to invest in Houston real estate.
Why Houston is a hot market for investors
- Rising population – As the most populous city in Texas, Houston is home to more than 2.3 million residents. The population grew by almost 10% over the past decade with more than 205,000 new residents moving to the city, based on a recent census. Ford, Harris, and Montgomery counties accounted for as much as one-fourth of the state’s population growth from 2010 to 2020.
Houston’s population is expected to grow further and drive demand for housing with an influx of new residents relocating to the area from the Northeast and California, a trend that started with the pandemic and the normalization of remote work. International migration is also driving Houston’s population growth.
- Strong economy and job market – Major industries include energy, advanced manufacturing, energy, life sciences, biotechnology, aerospace and aviation, and transportation and logistics. Houston also has one of the largest concentrations of U.S. headquarters for companies around the world. The city is home to 24 Fortune 500 company headquarters and 18 Forbes Global 2000 headquarters, including Sysco, Hewlett Packard Enterprise, and Cheniere Energy.
With over 3.2 million workers living in the city, Houston has introduced over 400,000 new jobs since the coronavirus pandemic. The employment rate now exceeds pre-pandemic levels across 11 sectors, including professional services, scientific, technical services, and arts and entertainment. The median household income has also grown by 5.8% year-over-year from April 2021 to 2022. These developments attract new talent from all over the U.S. and around the world as many professionals relocate to Houston to grow their careers or businesses.
- High demand – Despite home prices reaching record highs, property investors are still acquiring properties at a rapid pace in and around Houston. According to the Houston Association of Realtors (HAR), the sales volume of single-family homes has increased by roughly 4% year to date. Higher prices and a scarcity of affordable housing have only created even more demand for rental properties in Houston.
Best areas to invest in and around Houston
Sugar Land, TX
Sugar Land is a suburb located southwest of Houston. With family-friendly attractions like the Houston Museum of Natural Science at Sugar Land, Fort Bend Children’s Discovery Center, and Sugar Land Memorial Park, it’s an obvious choice for property investors looking to acquire single-family homes.
Kingwood Area, Houston,TX
Kingwood is an expansive master-planned community in northeast Houston. At 14,000 acres, the community features over 500 acres of parks, nature preserves, and trails in addition to recreation centers and playgrounds. The housing market offers a fine selection of single-family homes in a variety of architectural styles, including Ranch, Colonial, and Tudor Revival.
Museum District
Located between Texas Medical Center and Downtown Houston, the Museum District is a cultural and intellectual hub that attracts artists, creatives, and professionals. Named for the esteemed museums and cultural institutions in the area, the Museum District has a diverse selection of apartments, condos, townhomes, and single-family homes within proximity of Houston’s finest attractions.
Why invest in Houston?
Houston’s continual growth and economic prospects make it an attractive option for property investors. With rising home prices and interest rates, residents will have more incentive to rent rather than own property in Houston, which ultimately works in your favor.
The Houston real estate market is a good example of a booming housing market in 2022, and as someone looking to invest in it, I recommend that you do so. As a result, both domestic and international investors have access to a sound and safe real estate market. Houston has it all: people, diversity, business climate, and a world-renowned energy, medicine, space, and manufacturing industry. To put it another way, if you’re one of the many investors looking to get involved in the Houston real estate market, you’re on solid ground. With so many options and low prices, now is a great time to invest in Houston’s housing market.