The region’s home sales market still appears unstoppable despite a pandemic and historic winter storm.
Home sales in the San Antonio-New Braunfels statistical metropolitan area rose 16.6% in March, compared to a year earlier when the COVID-19 pandemic just hit the area.
A total of 3,543 homes were sold during the month, according to the San Antonio Board of Realtors’ Multiple Listing Service Report.
The average home sales price in the area rose 14.9% to $ 317,387, with the average price increasing 11.1% to $ 265,000.
However, the month-long inventory remained low and only 1.2 months were available. The month ended with 3,698 new offers, 3,963 active offers and 3,457 pending sales.
In Comal County, home sales rose 13.5% in March to a total of 379 sales.
The average home sales price in the county rose 18.1% to $ 418,318. The average price reached $ 330,533, a 7.9% increase over the previous year.
A total of 186 homes were sold in New Braunfels in March, up 22.4% year over year. The average home sales price rose 17.7% to $ 313,114 while the average price rose 17.9% to $ 288,000.
“Towards summer we see an increase in home sales ahead of the peak of the summer season,” said Cher Miculka, chairman of the San Antonio Board of Realtors 2021. “Given the pulse of the market and continued high demand, it is clear that home ownership in the metropolitan area of San Antonio-New Braunfels remains a priority for many who come in the middle of the year. “
For people trying to buy a home in New Braunfels and Comal Counties, supply has not kept up with demand, and the process is challenging for most.
Deanna Timmons had been in the market since last fall to buy a house in New Braunfels with river access. When that failed, she bought a lot to build her own house instead.
“We had been looking for a house for a while,” said Timmons. “We wanted minimum restrictions from a homeowners association. We had trouble finding a home in this crazy market. We bought a lot in River Chase. We couldn’t find what we needed and when we did we told the agent we were Wanted to tour the house. When she called to get a scheduled show, it was gone. “
Timmons added that she will soon start selling her current home while the future home is under construction.
“We don’t want to wait because the market is so hot right now,” she said.
For John and Chelsea Capello, buying a home in New Braunfels has also proven to be something of an odyssey. The couple who are first buying a house said they will close a house in about two weeks, but while trying to find a house it was getting hold of cash buyers offering $ 10,000 to $ 15,000 above the asking price again outbid on other properties.
“We wanted to get a head start in February because we are currently renting a property and our lease expired in May,” said John Capello. “We didn’t realize that we would take all the time to find a house.”
Chelsea Capello said they were consistently outbid by cash buyers because they “got an FHA loan and we couldn’t compete with it”.
“Having a loan has been a barrier (and not an advantage) because these money buyers come in and only buy houses left and right,” she said.
Stephanie Ryan, vice president of residential real estate sales at Coldwell Banker D’Ann Harper, New Braunfels realtor, said demand for homes remains high while inventories remain low and builders cannot build fast enough.
“We are seeing several listings for our properties that we have listed,” said Ryan. “I think a lot of that is low mortgage rates, which makes a lot of people have a lot more purchasing power, but it also makes us sell real estate so fast. A lot of people from California and New York come here, I think people love New Braunfels because it’s a beautiful city and there’s lots to do. You come here to vacation, then you want to move here and it’s easy to get to San Antonio and Austin. “
Rob Wasyliw, division president of KB Homes in the San Antonio area, said combining the pandemic with more people working remotely – the need for more space to work and school from home – coupled with low interest rates, combined the current demand creates.
“The combination of these two factors makes millennials start buying houses,” said Wasyliw. “Historically, they’ve talked for years about how millennials would eventually start buying houses and that house sales would go up. It seems like they’ve arrived.”
Based on its customer base, Wasyliw said that in addition to the millennials entering the market, the company is finding that people moving out of rental homes – apartments and apartments – in New Braunfels, along with a significant portion of the families who are from California come, a new home create volume.
In 2019, New Braunfels buyers under 40 made up 35% of KB Homes’ business, followed by 18% over 55.
In 2020, New Braunfels shoppers under 40 made up 55% of business, followed by 12% over 55.
According to Wasyliw, 38% of New Braunfels buyers in 2019 were from the city, 15% from San Antonio and only 1% from Austin. Six percent of home buyers were from California.
Last year, 29% of New Braunfels shoppers were from the city, 20% from San Antonio, and 4% from Austin. Just under 10% of the company’s homebuyers were from California.
Wasyliz added that a limited number of home resales in the market is also creating a huge demand for new homes. The monthly resale offer in the New Braunfels area is less than a month, with a balanced market historically being six months.
March home sales appear to be supporting a trend starting in 2020, when sales in the San Antonio-New Braunfels statistical area rose 11.6% year-to-date to a total of 38,838 home sales.
The average home sales price in the area also rose 8.6% to $ 293,927, while the average price rose 7.1% to $ 250,000.
Year-to-date price per square foot rose 7.2 percent to $ 134, while 97.2 percent of homes sold at list prices.
Of the total houses sold in the statistical metropolitan area of San Antonio-New Braunfels, 9,755 were new build houses, while 29,083 were existing single-family houses. In 2020, new home sales rose 26.3% at an average price of $ 262,500. In addition, existing home sales rose 7.1 percent at an average price of $ 245,000.
Comal County’s annual home sales increased 19.5% in 2020 to a total of 27,855 sales. The average home sales price in the county rose 9.4% to $ 367,565, with the average price reaching $ 321,475, an increase of 9.9%.
Comal County homes spent an average of 71 days in the market.
In New Braunfels, the sales market cooled somewhat with 2,049 houses sold in 2020, which corresponds to a decrease of 12.6% compared to the previous year. However, the average home sales price rose 7.3% to $ 313,114, while the average price rose 17.9% to $ 288,000.
Across Texas, home sales grew 9.6% year-to-date to a total of 369,997 sales in 2020.
The average retail price rose 8.3 percent to $ 318,546 while the average price rose 7% to $ 260,000.
In 2020, homes were typically sold in 54 days, four days less than in 2019. Of the homes sold, 96.8 percent were sold for their list price.
December ended with just 1.6 months of inventory in Texas.
“Single-family home sales in Texas are expected to grow rapidly this year, with a projected 8.4 percent increase,” said research economist Luis Torres of the Texas Real Estate Research Center at Texas A&M University. “This assumes that mortgage rates remain relatively low and economic reopening continues as vaccines are widespread. Without persistently low inventory levels, home sales would be even stronger.”