If you’ve been following the national headlines, you’ve probably heard the same story: the housing market is cooling, buyers are cautious, mortgage rates are staying where they are, and sellers are waiting for things to rebound.
But here’s the thing, Houston isn’t following the script.
Our market is outperforming the national trends, but it’s not a one-size-fits-all story. Real estate is hyperlocal, and what’s true in Houston neighborhoods like West University or the Memorial Villages looks different from what’s happening in EaDo, Midtown, or the University area.
You’d be surprised to see neighborhoods moving at dramatically different speeds. That’s why market knowledge and strategy matter now more than ever.
Averages vs Reality: The Days on Market Puzzle
You’ve probably heard this before: Averages are misleading. One of the best examples of this is Days on Market (DOM). Over the past six months, the numbers tell a very different story whether you’re looking at averages or medians.
Let’s take a closer look at West University for starters: The average DOM is 45 days, but the median is just 8. That means half of the homes are going under contract in a little more than a week, while a handful of listings that are sitting on the market for months are skewing the average higher. Pending listings are even more telling: an average of 60 days, but a median of 19.
The Memorial Villages show a similar pattern, with the average DOM at 70 and the median at just over 2 weeks. Nearly half of the homes sold in under a week. Pending sales are currently at 50 days average and 44 days median. This stat is worth watching, because the median is catching up to the average!
We see the same story across other neighborhoods:
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Memorial West averages 45 days on market, with a median of 9. Pending sales are 58 average, 21 median.
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The Heights shows an average of 68 days, with a median of 29. Pending sales are 88 and 60.
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In the Woodlands, the average is at 56 days, the median at 33. The kicker is that over 60% of homes sell faster than both numbers suggest. Pending listings are at 56 average and 33 days median.
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Bellaire is at 43 average, 13 median, with pending sales at 65/20.
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As always, River Oaks is its own case: The average DOM is 103 days, but the median is 43. Pending sales are heavily skewed at 228 average and 104 median.
Across the board (yes, even River Oaks), the median is consistently lower than the average. It tells us two things:
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A handful of homes sitting on the market are skewing the average numbers higher.
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The “real” market, the one most buyers and sellers are in, is still moving faster than the national headlines suggest.
You might be asking: but what about my neighborhood? How’s that doing? Is it a winner? Or is the outlook not as good?
The short answer is, yes, lower days on market is a good indicator of a healthy market. And yes, the neighborhoods above are, despite the headlines, “winning.”
The picture isn’t as rosy for other neighborhoods like:
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EaDo
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Midtown
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University Area
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Galleria
Want to know if your neighborhood is winning or not so much? This is where having local Houston real estate experts on tap comes in handy. Send us a note at [email protected] or give us a call, and we’ll give you the context that national averages simply can’t.
Seasonal Slowdown or New Normal (For Now)?
This time of year (tail end of summer, going into fall) always brings seasonal slowdown. Families are squeezing in last minute vacations before school starts, kids are starting school, and temperatures are high enough to dissuade even the most determined open house attendees.
After a couple of decades in the Houston real estate market, I can’t say this is something to be concerned about. It’s normal.
What’s more interesting is the trend we’re watching. Will these longer averages stick around, signaling a shift in buyer behavior? Or will the market tighten back up as we move closer to spring? Pending sales are already ticking up across all the neighborhoods we track, so it’s a question worth revisiting in a couple of months.
Why the Market Feels Slow (Even When It Isn’t)
So if many Houston neighborhoods are still in a seller’s market, then why does it feel slow?
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Seller expectations: Many sellers are still stuck to prices back when the market peaked a few years ago. This expectation can clash with the reality of today’s market.
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Buyer hesitation: High interest rates have created a psychological barrier, even for those who are qualified and ready. They believe the market is worse than it really is, and that there will be a crash some time in the future.
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Skewed data: As we’ve seen, a handful of stale listings can make the whole market look slower than it really is, especially if you’re only looking at average.
Take a look at The Woodlands data again.
On paper, the average DOM is 56 days and the median is 33. If you dig deeper, you’ll see that over 60% of homes went under contract faster than that. To someone looking at average (or just skin-deep data), the market looks sluggish.
To someone with the right data and context, it looks healthy and competitive.
Why Local Expertise Matters
The most important lesson from all of this is simple: Houston isn’t one giant 600-square mile market. It’s actually dozens of micro-markets, all moving at different speeds.
If you’re a buyer, working with incomplete data or just averages may mean missed opportunities. You might assume you have time in a neighborhood where homes actually move in a week. Or you may end up overbidding on a listing that’s been sitting, thinking it’s just average for the neighborhood.
If you’re a seller, not understanding your exact neighborhood’s dynamics can cost you as well. Price too high based on outdated expectations and you risk being one of the listings that sit on the market for months. Price and position correctly, and you’ll often see offers quickly, even in today’s interest rate environment.
The truth is, strategy matters more than ever in this market. The difference between “average” advice and local, hyperspecific expertise isn’t just academic, it’s financial. It can mean tens of thousands of dollars saved or lost.
Whether you’re buying or selling, now is the time when experience, data, and strategy make all the difference. If you’re looking for help from expert Houston real estate agents, let us know at [email protected].
