Despite Harvey, Beaumont-Port Arthur housing market finishes 2017 strongDespite Harvey, Beaumont-Port Arthur housing market finishes 2017 stronghttps://www.recenter.tamu.edu/news/newstalk-texas/?Item=194542018-03-13T05:00:00Z2018-03-13T17:00:00Z

​​​​BEAUMONT – Not accounting for the personal loss and suffering caused by Hurricane Harvey, 2017 was a good year for the Beaumont-Port Arthur Metropolitan Statistical Area’s (MSA) residential market, according to Real Estate Center housing data.

Despite the hurricane’s negative influence on third-quarter single-family home sales, the MSA had strong enough growth in the second and fourth quarters to offset the storm’s impact.

Overall, sales volume in 2017 totaled 3,772, an over 10 percent increase compared with 2016. Median closing price rose 2.7 percent to $145,797 while median price per sf rose 3.4 percent to $85.56. Months inventory fell from 4.3 months in 2016 to 3.1 months in 2017.

“Buyers from the major cities are taking advantage of the area’s lower cost of living,” said Benjamin Rodriguez, president of the local board of Realtors. “As a result, we’re now seeing inventories dwindling and prices being pushed up.” Rodriguez said that households were likely relocating to the area because of the billions in petrochemical investment currently underway.

Jefferson County had the most sales with 2,272 closed listings at year-end, a more than 10 percent increase over 2016. Over the same period, the median price in Jefferson County rose from $131,000 to $138,900. Orange County recorded the second highest sales count at 755, an over 12 percent increase over last year. Sales in Orange County were propelled by a record-breaking second-quarter performance of 241 closed listings. The previous quarterly record was 188 sales in second quarter 2016. The median price in Orange County, $139,900, has not changed since 2016. Hardin County sales rose 8.5 percent for the year to 679 transactions, and the median price increased 1.6 percent to $175,000.

Home sales plummeted throughout the MSA in the third quarter due to widespread flooding after Hurricane Harvey. The two most populated counties, Jefferson and Orange, recorded the highest counts for residential property damage. According to Federal Emergency Management Agency (FEMA) estimates, the most severe and widespread damage occurred within Orange County.

“This likely explains the significant third-quarter drop in sales that followed the strong second-quarter performance,” said Center Senior Data Analyst Joshua Roberson. “Numerous other neighborhoods throughout the metro were also affected, including those near SH 105 outside of Beaumont.

“The Beaumont area is no stranger to occasional hurricanes, but storms like Hurricane Harvey are once in a lifetime. While housing metrics for the year look great, it is hard to predict the impact from major natural disasters such as Harvey. In general, disasters of this caliber tend to have shorter immediate setbacks to local housing and economy and are followed by a resurgence period to rebuild and replace. This pattern is especially the case for metropolitan areas where economic activity is on the rise, such as Beaumont Port-Arthur.”

Beaumont-Port Arthur home sales chart

Source: Real Estate Center at Texas A&M University

Real Estate Center
Beaumont-Port Arthur
Read more at {Source}

 Search NewsTalk Texas