77040
Houston, Texas
Houston 77040 needs watching.
The 77040 ZIP code in Houston, Texas has a median sale price of $294K, down -1.1% year-over-year. Homes spend an average of 67 days on market, with 5% of homes selling above list price.
Folio's PropIQ™ score of 45 signals Caution conditions. Elevated price drops and longer days on market indicate softening in 77040.
The 77040 market shows declining momentum with a median sale price of $294,250, down 1.1% year-over-year, while homes average 66.5 days on market. Only 5% of properties sell above asking price, indicating minimal competition and weak buyer urgency. This performance marks a shift from the appreciation patterns Houston's northwest corridor experienced in prior years, with price discovery now tilting toward negotiation rather than bidding dynamics.
Buyer leverage dominates this environment. The 66-day market cycle provides time for thorough due diligence and multiple property comparisons without pressure, while the 5% above-list rate suggests room for below-asking offers. Investors seeking cash flow over appreciation may find entry points here, though the negative price trend requires strict underwriting on rental yields. Sellers face extended holding periods and should avoid overpricing in a market where comparable sales are working against them.
The PropIQ score of 45 signals caution, suggesting headwinds persist through upcoming quarters. With prices already down and absorption slowing, further softness appears more probable than a quick reversal. Monitor employment data in Houston's energy sector and mortgage rate movements, as both directly impact 77040's middle-market price point. Any scores trending below 40 would indicate accelerating weakness requiring immediate strategy adjustments.
What is the median home price in 77040 Houston?
The median sale price in 77040 is $294K, down -1.1% year-over-year as of 2026-02-28.
How long do homes stay on the market in Houston 77040?
Homes in 77040 Houston spend an average of 67 days on market before going under contract.
Is Houston 77040 a good place to invest in real estate?
Folio's PropIQ™ score for 77040 is 45/100 — a Caution signal. 5% of homes sold above asking.
What does a PropIQ™ score of 45 mean for 77040?
PropIQ™ is Folio's proprietary market score combining price momentum, days-on-market velocity, inventory absorption, and investment signals into a 0–100 number. Score of 45 = Caution in 77040 Houston, Texas.