John Bogna
Despite widespread flood damage and evacuations, people are still selling their homes in Houston.
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According to the New York Times, Houston is the largest new housing market in the United States, with 40,000 housing units built a year.
“You have a country that’s divided between high cost places like Bay Area and New York and higher unemployment areas like Detroit, and places like Houston pick up the slack,” Issi Romem of BuildZoom told the Times in an interview.
RELATED: Experts warned officials that the flood was coming, Did they ignore the signs?
Even so, one would think the damage brought on by the hurricane would deter people from buying homes in the area, but that doesn’t appear to be the case.
Of 45 buyers in the process of locking down homes in Houston before Harvey, only eight backed out of their transactions, according to real estate website, Redfin.
Prices are expected to change, and people are waiting to see how they’ll pan out.
Homes in higher risk areas may be discounted in price, while those protected outside of them or built higher could see an increase in value.
Another factor that could impact sales is the fact that repairs are getting priority over new construction, according to the Times report. Developers are banking on demand continuing along its regular track once repairs are completed.
Cement standing where wetlands did before, preventing the absorption of water and heightening the chances of flood, has been frequently cited as a concern moving forward after Harvey.
Whether developers will listen, and whether it’s a good idea to keep building in risky areas, remains to be seen.
RELATED: How unchecked development resulted in greater damage from Harvey’s floodwaters
