TR_May_2020

MARKET & TRENDS

HOT MARKET

Market Spotlight: Houston SIGNALS SHOW RENTAL PRICES HAVE PLENTY OF ROOM TO APPRECIATE WHILE MAINTAINING AFFORDABILITY

by Fred Heigold III

increases is slightly under nearby MSAs of Austin (3.5 percent), Dallas (3.4 percent) and San Antonio (3.2 percent). However, Houston outperformed the state of Texas’s 2.7 percent increase and the national average 1.4 percent gain. In the last five years, the overall increase in non-farm payroll has increased 7 percent adding 210,600 jobs, and accounts for 18 percent of all job growth in the state. The top job categories in the Greater Houston MSA from December 2018 to December 2019 was led by the Professional and Business Services sector (26,300 jobs); followed by Mining, Logging and Construction (13,600 jobs); Trade, Transportation and Utilities (10,400 jobs); and Education and Health Services (10,300 jobs). GREATER HOUSTONMSALARGESTJOB CATEGORYGROWTH The job market in Houston is well-balanced across sectors. The metro is known for oil and gas employers, but IT, aerospace, healthcare, and manufacturing are

R

entRange, an industry leader in market data and analytics for the single-family rental (SFR) housing industry, found in its recent data report that the Houston- Woodlands-Sugarland TX Metropolitan Statistical Area (Greater Houston MSA) is a stable, consistently appreciating market with room to grow. JOB GROWTH According to the Bureau of Labor Statistics (BLS) Job Report through December 2019, the Greater Houston Metropolitan Statistical Area (Houston MSA) is one of the largest drivers of job growth in the US. The Greater Houston MSA ranked 4th in annual job percentage gains with 2.8 percent growth between 2017 and 2018. Over the last five years, Houston ranks 13th amongst the large metro areas of over 750,000 population, showing job growth of seven percent. The Greater Houston MSA has added 88,000 non-farm positions in the last year. The annual percentage of job

INDUSTRY GROUP / JOB CATEGORIES

1 YEAR CHANGE 3 YEAR CHANGE 5 YEAR CHANGE 1 YEAR % CHANGE 3 YEAR % CHANGE 5 YEAR % CHANGE

Professional & Business Services

26,300

55,000

50,300

5.25%

11.66%

10.56%

Mining, Logging & Construction

13,600

28,500

-7,300

4.48%

9.86%

-2.25%

Trade, Transportation & Utilities

10,400

27,300

33,700

1.61%

4.35%

5.42%

Education & Health Services

10,300

24,800

48,600

2.58%

6.46%

13.49%

Other Services

9,700

15,000

15,700

8.61%

13.97%

14.71%

86 | think realty magazine :: may 2020

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