Texas is constantly showing strong job growth and reflects a diversity of the state’s economy which seems well positioned for the long haul. Business cycles are a fact of life, they are regular and predictable so there will always be ups and downs, but Texas is really set up for continuously outpacing the other states in our country.
Jobs show healthy long-term growth. 6.2 million new jobs are estimated to be added between now and 2040, which will increase total employment to over 18.5 million, that makes out to 21,000 jobs a month for the next 24 years.
Texas is getting more and more diverse too. Analysts suggest that the slump in the price of oil is not being a drag on our economy. We have a wide range of industries, just to name a few: auto manufacturing, technology, petrochemicals, distribution centers, financial services, healthcare and aerospace. Texas is irrepressible, oil dropped from $100 to under $40 and it was not devastating.
What does it mean for the situation in the real estate market? The answer is quite obvious: right now is the best time to buy real estate property. If you think there is a housing bubble you are wrong. The longer you wait hoping that the housing prices will decline, the more expensive homes are going to get. More jobs mean that more people are moving into the area, which translates to growing demand for homes. The supply of new homes is not growing fast enough for our growing demand and that’s why the affordability of real estate property decreases. They aren’t making any more land.
It is crucial to understand that the increase in price is not going to be across the board for all homes and at all price points. Houses with price points of $300k-$450k are having the highest level of increase. You should invest your extra money in real estate and the best option is investing in multiple properties in that price range.
If this is your first time buying or if you’re a seasoned investor, give us a call, we are always willing to help and provide you with professional guidance to help you make the best decisions.