77005
Houston, Texas

The 77005 market closed February 2026 with a median sale price of $1,675,000, marking a 6.3% year-over-year increase that outpaces Houston's broader luxury segment. Properties are moving at a measured pace, averaging 55 days on market, while 22% of homes sold above asking price—a figure that indicates selective competition rather than widespread bidding wars. This price appreciation combined with modest absorption suggests steady, not frenzied, demand at the upper price tier.

These conditions favor sellers with properly priced premium inventory and patient buyers seeking negotiating leverage. The 22% above-ask rate means roughly four in five transactions close at or below list, creating room for informed buyers to secure concessions. Investors focused on established wealth corridors will find the 6.3% appreciation rate attractive for long-term holds, though the 55-day marketing window requires adequate capital reserves. Sellers benefit from rising values but must price competitively given that most properties don't trigger bidding wars.

The PropIQ score of 70 signals neutral territory—neither expansion nor contraction is imminent based on current velocity and pricing metrics. Watch for changes in the above-ask percentage; a drop below 18% would indicate softening buyer urgency, while an increase past 28% would suggest tightening inventory pressure. The 55-day absorption rate will likely hold through Q2 2026 unless interest rate movements or luxury-tier employment shifts alter buyer psychology in this high-barrier-to-entry ZIP code.