“In the last month or so, we’ve seen an increase,” said Lee Rusk, an agent with the real estate firm Redfin and a Pearland resident. “It takes three or four months to get a quality renovation completed, and now we have an influx of those renovated homes hitting the market.”
Despite new walls, floors, fixtures and upgrades, these particular investments may not have as quick of a payoff as other “flip and fix” strategies, Rusk said.
However, because investors in some cases purchased the properties at huge discounts, they can price them well below average for the market, he said. Even so, that may not be enough to entice some buyers.
“There is a stigma out there that all of Houston was underwater and that it’ll happen again. … Buyers are questioning every single agent and asking, ‘Did it flood?’” Rusk said.
If the answer is yes, they likely move on, he said. Listings are not required to say whether a home flooded, but buyers should ask their agents to view the seller’s disclosure, where flood damage is required to be documented, he said.
Pearland, Friendswood real estate trend: Flooded homes returning to the market
Sale and lease signs line a street in Friendswood. Some homes affected by Hurricane Harvey are returning to the market after being renovated.