Despite economic uncertainties with the ongoing pandemic, the Texoma housing market remains strong, with high demand for new housing and construction.
Representatives for the Greater Texoma Association of Realtors said the market housing prices increasing nearly 4 percent over July 2019 showing continued signs of growth in July.
"The market is insane and has not slowed down," GTAR President Evan Martin said. "COVID-19 has not affected: one, home building and, two, the real estate market as a whole."
Despite uncertainties elsewhere in the economy, Martin said housing has remained insulated to some degree thanks to mortgage interest rates.
"Interest rates for mortgages have gone down and have affected people’s interest in buying, in addition to high rental rates. If they can get a low interest rate, instead of renting a home or apartment, they can own one for cheaper."
For July 2020, Martin said the median home value was at about $213,000 or 3.9 percent higher than it was just one year prior. This falls in between the $200,000 to $250,000 sweet spot that is in the highest demand right now.
While much of the market remains strong, Martin said Sherman specifically has been a hub for this recent growth.City officials last week said Sherman has seen an increase in residential building permits for the year, continuing a trend that has extended for about four years.
Through July, the city had issued 178 permits — an increase over the 116 that were issued over the same time period in 2019.
Despite the increase in demand and values, Martin said Texoma’s market is weak in one key component: inventory. As of July, the region had about 3.1 months worth of housing stock— about one month less than it had one year prior.
"That basically means that if nothing came on the market today, within three months everything would be sold," he said.
Despite strong interest from builders, construction can’t keep up with demand. Sellers with equity putting their homes on the market would provide some relief, he said.
"Across the board, across Grayson County, nothing is going down except our inventory," he said.
Martin said traditionally the fall months have seen a slowdown in demand for housing, but this has not been true for the past few years.