California transplants to Houston have bigger housing budgets than locals - Axios HoustonLog InLog InAxios Houston is an Axios company.

Outsiders fuel Houston' s housing market

Data: ; Chart: Baidi Wang/AxiosPeople moving to Houston are coming armed with home-buying budgets 17.5% bigger than what locals have, according to a . Why it matters: Houston was once known as an affordable city, and though it still is nationally, locals — particularly — don't hold the purchasing power. The gap puts Houston in the top 10 cities nationwide where out-of-towners have budgets outpacing those of existing residents. The trend is and depleting the . State of play: Most people are , where income taxes are high. By the numbers: Transplants have an average maximum budget of $608,902, compared to locals shopping with $518,398, the analysis found.Houston's average price for a single-family home broke the $400,000 mark for the first time in March. And in June, the median price of homes jumped 13.2% from June 2021 to $355,000 — the highest median of all time. What they're saying: "Even though the housing market has slowed, the share of homebuyers moving to different parts of the country has not," said Redfin deputy chief economist Taylor Marr in the analysis."That's partly because home prices and mortgage rates have increased so much that homebuyers with the flexibility to relocate are seeking out affordable areas," Marr added. The bottom line: For those who want to buy a house in a large city, Houston maintains its status as an attractive market.But that doesn't always work in favor of locals — especially those in neighborhoods that are gentrifying. Get more local stories in your inbox with .Subscribe Support local journalism by becoming a member.

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