MetroStudy - Houston, TX – 2011-07-08 - Houston’s economy is showing signs of recovery, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

Houston has gained 50,700 jobs year over year as of February 2011, which means 48% of the workforce shed during the recession has been gained back. “Job growth does more than increase the workforce,” said David Jarvis, director of Metrostudy’s Houston division. “These gains have potential to boost consumer confidence so they can plan long term goals.”

Houston started 3,733 homes during 1Q11, compared to 5,232 during 1Q10 with the Tax Credit. Builders closed 3,665 homes during 1Q11. Annual closings have outpaced starts since 1Q07, and so the market has absorbed the inventory built up during the run up in housing. “As new home demand stabilizes, Metrostudy expects the gap between starts and closings to narrow going forward,” said Jarvis.

For the last 17 quarters new home starts have outpaced new home closings, leading to a tight new home inventory in the Houston Market. Houston currently has a 6.3 month supply of new homes, which is slightly above the 6 months Metrostudy considers equilibrium. The number of finished vacant homes in the market has declined the last 3 quarters and now rests at 5,220 units, the lowest count in more than 8 years. The months of supply for finished vacant units rests at 3.2, slightly above the 3 months Metrostudy considers equilibrium.

“Houston’s economic drivers are strong and will continue to gain strength through the final 9 months of 2011,” said Jarvis. “Continued job growth and home price stabilization will build up consumer confidence as the buying public returns to viewing home buying as a long term investment.”

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

Contact:
david jarvis
713.622.9909 x 132
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