San Antonio on the rise, so is the cost of homes

by Margie Olivares

 

Just two months into 2022, a handful of real estate websites posted predictions on the housing markets throughout the country, in particular San Antonio.

Zillow named San Antonio among the top 10 “hottest housing markets” of the year at number 4. Realtor predicted that the San Antonio market is on track to grow faster than both Austin and Houston. The San Antonio Express-News cited that 49,000 new jobs in the area are a contributing factor to the growth in the San Antonio-New Braunfels area.

What does the growth indicate?

With the boom in the housing market in the San Antonio area, here are some of this year’s predictions.

  • There is an expected home value appreciation from November 2021 to November 2022, with an anticipated change in home value appreciation from 2021.
  • The net number of home-owning households will likely increase.
  • Even though mortgage rates decreased due to the pandemic, they anticipate them increasing in 2022.
  • Even in large cities like New York where the market is slowing down, the price of homes is increasing and shows in smaller markets as well.
  • The supply of existing homes is at an all-time low; in a ‘slow’ month in real estate, houses were on the market for less than 46 days in January.
  • The cost of homes increased, and so did rent. In one year, the median rent went up from $1,304 to $1,681, jumping up 28.9% in the area. That is 17.9% higher than the national increase of just 11%.

How Habitat Helps families in San Antonio

According to Zillow, “the limited housing supply coupled with the sky-high housing demand is a classic Econ 101 recipe for rising home values.” The rise in the cost of homes only increases the existing need for affordable homes for families in Bexar County. High prices and increasing mortgage rates can intimidate first-time homebuyers, especially low-income families. At Habitat for Humanity of San Antonio, we continue to partner with families in need.

Habitat sells homes at cost (approx. $115,000 in 2022), for no profit, while also keeping the interest rate at zero percent. Selling homes at cost helps ensure that families have a low monthly mortgage payment. In doing so, families ensure that their entire income does not go toward housing costs. This year the average monthly mortgage payment of a Habitat family is $750. That price is significantly lower than the median $1,681 rent in the area.

Habitat looks to give families a HAND UP not a HANDOUT. We focus on guiding families in their journey to their first home while giving them resources to maintain it too.

If you or someone you know is interested in applying for the Habitat Home Buying Program, visit HabitatSA.org/apply-for-a-home.

 

MySA article: Zillow declares San Antonio among 10 hottest real estate markets for 2022


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