Condos on the Climb
Texas homebuyers aren't just scooping up single-family homes: The 2016 Texas Condominium Mid-Year Sales Report shows that condo sales — and prices — are going up, up, up.
All of the state's major metros — Austin, Dallas, Houston, and San Antonio — saw an increase in condo sales from January through May 2016. In San Antonio, 298 condos were sold, a 5.3 percent increase from the same time period in 2015.
Why the jump? The Texas Association of Realtors attributes the uptick to retirees and first-time buyers seeking a more affordable alternative to single-family homes. "Millennials and retirees who don’t want the upkeep of a traditional, single-family home and want to be close to nightlife and amenities also see condos as an attractive housing option," adds the report.
The more desirable condos become, the higher the prices rise. The median condo price in San Antonio increased a whopping 22 percent year-over-year. But at $125,000, condos are still an affordable option for San Antonio buyers.
"Existing condos are typically the predominant properties left in Texas’ major metro areas that can be purchased for under $200,000, the price range best suited for first-time, entry-level homebuyers," says Jim Gaines, chief economist with the Real Estate Center at Texas A&M University, in a release.
Condos in Houston and Dallas, where the median prices are $130,000 and $160,000, respectively, remain an affordable option. In Austin, however, the median condo price is $235,000, $110,000 more than the San Antonio median, and well above the preferred price range for most first-time buyers.
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