Market Health Indicator: 41.2
The recession arrived in San Antonio earlier this year, when employment finally turned negative due to weakness in the manufacturing sector. But with military bases as three of its top four employers, this Texas city may see better employment numbers next year, potentially fueling housing growth. Housing here remains affordable at a median of $148,000, with prices declining a mere 1.6% during 2009. In addition, San Antonio routinely ranks among the best cities for relocation, and has been gaining population at a rate of 2.8% annually, a trend that continued even this year. Despite favorable trends, though, San Antonio housing permits have fallen 54% so far this year, and comparisons may wind up even lower before the year is over. A full 72% of the action is in single-family rather than multifamily permits.
Busiest builders: D.R. Horton, Centex Homes, KB Home, Fieldstone Communities, Pulte Homes.
Courtesy: Hanley Wood Market Intelligence.
Get local housing data and more on Builder's San Antonio, Texas Local Market page.
Market Health Indicator: 50.3
Even though it took a step backward during the last six months, Austin happens to be the only market on our list that is genuinely close to healthy. Home prices, which rose in 2008, finally declined this year—they are down 4.6% through September—as this Texas metro ended a long run of employment growth and lost some jobs. But its population has expanded by 4.3% during the first half of 2009, which should add housing demand and help firm up home pricing. It was the same story with Austin-area employment numbers, which remained in positive territory until mid-2009, when its manufacturing segment began losing jobs. Still, unemployment in this progressive city runs only about 7%, significantly below the national average. Dell Computer is Austin’s largest employer, with about 17,000 jobs. Austin continues to draw population, especially retirees, with its low cost of living, inexpensive housing, and warm-weather climate. The city had the third highest household growth rate in percentage terms among the top 100 market. Even so, permit activity fell by 38% during the first half of the year.
Busiest builders: D.R. Horton, Centex Homes, Pulte Homes, Lennar Homes, KB Home.
Courtesy: Hanley Wood Market Intelligence.
Get local housing data and more on Builder's Austin, Texas Local Market page.
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