New figures the first week of June reveal that house prices in the U.S. have already fallen by more over the past 12 months than in any year during the Great Depression. This study comes from the Economist. You didn’t read about it in your LA Times, SF Chronicle, Chicago Tribune or Washington Post, did you?
These are national figures. Some of the country didn’t see any dip. For example, there are areas of Houston such as EPCOT village-styled, heavily wooded community called The Woodlands that experienced price increases in homes near The Waterway and Town Center, some call the Lake District, the homes in Panther Creek. Here you can buy a 3,500 square foot brick mansion with pool, granite counter tops, Brazilian cheery floors, glass conservatory, rot iron fence for $420,000-$500,000.
There are other areas of Houston, such as Sugar Land, Kingwood and Katy that have increased in value as well. Houston area properties didn’t go through the heady spike in prices that San Diego, Hollywood and the San Francisco area did from 2001-2005. Houston has become one of the safe havens of high-quality housing. Austin, San Antonio and Dallas have also survived the drop in prices.
Another factor saving the Texas economy — oil. U.S. oil production has sharply increased due to the price per barrel hitting $135. Old oil fields are pumping again due to high-tech well enhancement operations by Texas E&P oil service companies. In addition, Houston is second only to New York in Fortune 500 companies.