Heights residents Nicholas Krohn and his wife recently decided it was time to buy a bigger house. The couple, who have one child, had outgrown their 1,300-square-foot bungalow and wanted a place perhaps twice that size.
But with inventory so limited in their neighborhood near the Woodland Heights, they decided to have their old house torn down and build new.
“We knew people who had renovated or rebuilt recently,” Krohn said. “It’s a commitment, and it can be stressful, but they all have beautiful homes and they’re very happy now.”
Activity in Houston’s new-home market – still just about half of what it was during the housing boom – is heating up again.
Area housing starts rose 33 percent during the first three months of 2013, as more buyers jumped into the market and some, faced with a lack of resale inventory, turned to new homes.
The inventory of existing houses for sale has been shrinking as demand spikes and owners remain cautious about selling.
The result has been a seller’s market in many neighborhoods.
“We have heard stories about how houses sell within 24 to 48 hours and there are bidding wars and you’ve got to line up the day it’s listed. That sounded great in terms of selling our current home but a nightmare in terms of buying,” said Krohn, who has not yet selected a builder but has hired an architect