Builders start Houston-area communities in Cypress, Humble

Builders have separately launched two single-family residential communities in the greater Houston area with homes starting under $300,000 as rising mortgage rates reduce buying power.

Taylor Morrison and Tri Pointe Homes announced plans to build more than 1,300 homes priced from $200,000 to $400,000 on 300 acres in Mason Woods, a new community east of Grand Parkway near FM 529 at Cypress.

The homes, ranging from 1,300 to 2,850 square feet, will be built on lots 40, 45 and 50 feet wide. The builders acquired land that had previously been used for cattle grazing from Landmark Industries Development for residential development, according to Taylor Morrison.

“Mason Woods offers an affordable price point that’s pretty hard to find in the Houston area right now,” said Todd Rasmussen, President of Taylor Morrison’s Houston Division.

“We are thrilled to introduce three innovative new home collections featuring open-concept living spaces, clean lines, natural light and sophisticated simplicity,” Rasmussen said.

Tri Pointe Homes said the location provides proximity to restaurants and retail in Cypress and Katy and is a short drive from the energy corridor. The homes have open-concept layouts, flexible rooms, and smart home technology.

“The community of Mason Woods will provide an upscale lifestyle for homebuyers due to its quick and easy access to job centers, schools and shopping,” said Joe Mandola, Tri Pointe Division President. Homes Houston.

Presales at Mason Woods are expected to begin in late September, with the first homes available in early 2023. Zoned at Cy-Fair ISD, the community features a series of lakes, an amenity center with a resort-style pool , a fitness center and playground.

RELATED: Houston real estate powerhouse Hines plans 2,400-unit community in Fort Bend County

The community is adding a new option as Houston’s robust housing market has slowed with rising home prices and higher mortgage rates. Mortgage rates soared above 6% for the first time in nearly 14 years last week, according to a weekly survey by government-sponsored mortgage finance company Freddie Mac. For a $250,000 mortgage, the monthly payment on a 30-year loan has risen to nearly $1,500 per month from $1,054 a year ago when rates were 3%.

New home prices are still hitting record highs even as sales have slowed and more homes come on the market, according to HomesUSA.com, a North Texas-based brokerage firm that tracks new home sales managed by multiple listing local services in Texas.

New home prices in the Houston area hit a record high of $426,115 in August based on a three-month average, according to HomeUSA.com. The price is up nearly $25,000 or 6% from $401,315 in August 2021.

Lawrence Dean, senior vice president, Texas Advisory, for housing research firm Zonda, said first-time buyers and other buyers looking for affordable new homes are having a harder time qualifying for mortgages. .

“A portion of buyers are now considering homes under $300,000 at more affordable prices who might not have considered these homes when interest rates were much lower,” Dean said in an email. mail. “As their purchasing power erodes due to rising interest rates, they are forced or choose to seek out homes at more affordable prices, which is driving demand in this segment of the market.”

Builders started the most homes in the $300,000 to $399,000 category, which jumped 33.7% over the past year to 16,302 homes, according to Zonda. Housing starts in the $200,000 to $299,000 category fell 39% to 12,292, but not for lack of demand.

Due to rising prices and costs, that same home that was in the sub-$300,000 category can now sell in the $300,000 to $399,000 category, according to Zonda.

In northeast Houston, KB Home, a Los Angeles-based builder catering to first-time buyers and buyers, announced the opening of Flagstone, a 100-acre community planned for 428 homes in the Humble area.

The community, located on FM 1960 north of Cypresswood Drive, sits between Hardy Toll Road and US 59 approximately 23 miles northeast of downtown. Prices start in the $240,000 range, according to KB Home.

RELATED: Luxury Home Builder Tolls Brothers Opens Boutique Gated Community in Conroe

One- and two-story floor plans contain up to five bedrooms and three bathrooms and range in size from 1,200 to 2,200 square feet. The neighborhood is zoned to the Aldine Independent School District. The community is close to hiking and biking at Stahl Preserve and Spring Creek Greenway and will have a multi-acre park with playground.

“Flagstone’s convenient location provides easy access to major highways for a quick commute to area employers, and residents will enjoy the multi-acre community park and nearby outdoor recreation,” said Brett Dietz, president of the Houston division of KB Home, in a statement.

KB Home is building 24 new residential communities in the Houston market.

About James Almanza

Check Also

Local Kitchens offers the best local restaurants under one roof

MILL VALLEY, Calif. — Can’t decide between ordering a sushi burrito or a fried chicken …