Rio Grande Valley housing market heats up

RIO GRANDE VALLEY – There were 430 home starts during second quarter 2014, up 18 percent from 2Q 2013, according to Metrostudy. Furthermore, there were 470 closings in 2Q 2014, up 39 percent over 2Q 2013.

Through 2Q 2014, there have been 1,850 total starts — up 12 percent from 2Q 2013.

There were 1,874 new home closings in the year ending 2Q 2014 (up 11.3 percent) from 1,684 in 2Q 2013.

The top 58 subdivisions ranked by annual starts garnered a 54 percent share of the 2Q 2014 annual rate, and the remaining 387 subdivisions generate the other 46 percent share of annual starts.

Inventories are improving, prices are rising, and there is a good pocket of construction in the most active subdivision group.

For the near future, there will be a core group that generates more than 50 percent of all new home construction, holding tighter inventories and exhibiting better trends.