Movement in the San Antonio real estate market is creating an interesting scenario that could benefit Southside homebuyers—and those who didn’t know they could afford to buy a new home.
“San Antonio's multifamily rents are climbing and home prices are at an all time high,” said the San Antonio Business Journal. So what does that mean for San Antonio homebuyers? Those searching for a single-family home may have more buying power than they think, if they know where to look. Let’s break down the details.
“While San Antonio's home prices are nowhere near those of New York City or Seattle, it's unique in that mortgage payments on a home are often the same, or even lower, than monthly rental rates,” said the Business Journal.
But that depends on where you buy. Home sales in San Antonio are up, but so are overall home prices, rising 5.3 percent recently over last year. “Low inventory and high demand” continue to push prices up in the San Antonio real estate market, driven by “San Antonio’s healthy economy and growing population, along with low interest rates.”
But, affordable options for new homes in San Antonio continue to create a pocket for homebuyers looking for a close-knit community in a growing area. Explosive growth on the Southside, home to thriving Southside businesses like the Toyota plant, the exciting Brooks City Base redevelopment, and the fast-growing new Texas A&M University campus have made the Southside the hottest area of the city and created demand for housing.
Masterplans like Mission del Lago have answered the call. This 800-acre San Antonio golf course community offers single-family homes from the $160s by D.R Horton and Lennar, community amenities including playgrounds and an onsite golf course, and a convenient location close to downtown. Mission del Lago is the fastest-selling community in all of San Antonio in its price category and one of the fastest growing across all price points.
“Combining national trends such as rising home prices and slow wage growth with San Antonio's urban revitalization and increasing appeal for apartment living, the investment market for single-family rentals in the city has merely chugged along,” said the Business Journal. While there is an inventory of single-family rental homes, those living in San Antonio are staying away from them, preferring instead to buy since the monthly payment can be the same or even lower than rent.
New releases like D.R. Horton’s Express Homes, which introduced a lower price point for brand-new homes in San Antonio and in new-home markets across the country, and Quick Move Homes, that allow buyers to move in right away without the wait of construction have become popular choices for San Antonio homebuyers.
First-time homebuyers, young families, military, and employees of some of San Antonio’s major employers have been helping San Antonio real estate buyers put up impressive numbers. But they’re not the only groups making a move.
“The single-family rental market picked up steam at the height of the recession when many single-family households lost their homes due to foreclosure,” said the Business Journal. “With the economy on the rebound, however, RealtyTrac has found an increasing number of ‘boomerang buyers’ who can now qualify for a mortgage again.”
That’s good news for San Antonio homebuyers, whether they’re looking to buy their first home or get back into the market and are looking for affordability, a great location, and all the advantages of homeownership that aren’t available to renters: growing equity, tax savings, pride of ownership, and the ability to be part of a close-knit community.
For more information, visit Mission del Lago or click below to view all move-in ready homes.