COLLEGE STATION – New homes selling for less than $200,000 in Texas have essentially disappeared, according to a Texas Real Estate Research Center expert.
In 2011, 12,952 homes—half of new homes sold in Texas that year—sold for under $200,000. In 2022, only 1.7 percent (1,090) of new homes sold for below that price.
“This is despite underlying trends of smaller houses and lots,” said Research Economist Dr. Adam Perdue. “Part of this is underlying inflation, but there has been a real fall in the amount of more affordable homes available.”
By December 2022, the inflation-adjusted equivalent of January 2011’s $200,000 was $269,542, an increase of 35 percent. During that same period, the average price of a new home sold in Texas increased 78 percent from $246,855 to $438,493.
The Texas Real Estate Research Center has a wealth of economic information online for free.