Steve Madray of Texas is a Distinguished Military Officer now in his civilian career working as a real estate developer and investor. While working in the construction industry shortly after his post-military life, Steve gained expertise in site work, project management and estimating during this time. With a knack for real estate, Steve founded Benchmark Properties and Consulting in 2018. In addition to managing his firm, Steve Madray also manages his own commercial real estate investments. In the following article, Steve Madray discusses investment opportunities in the state of Texas, how the market and local economy are booming, and why investors are flocking to the state of Lone Star.
As the largest contiguous state in the United States, Texas has much to offer potential real estate investors – from heavily urbanized lots in Houston and Dallas to pristine raw land in the state’s Northern, Central and Western Territories. Best of all, Texas real estate prices are well below the national average, making it a prime location for potential growth, says Texas-based Steve Madray.
With several large corporations relocating to the Lone Star State, land and real estate values are expected to skyrocket over the next few years. To participate in the growth, it is best to invest now and take advantage of the state’s still affordable land. Texas’ Steve Madray takes a look at some of the most attractive markets and discusses how investors can take advantage of Texas’ massive upside potential.
Texas remains a prime location for Raw Land
Texas may be home to some of the largest urban centers in the country, but it’s also a state with vast undeveloped territories. According to the latest data from the Texas Farm Bureau, about 83% of the state is rural. Much of this rural land is located in the state’s vast Western Territory — an area often referred to as “West Texas.”
Texas’ Steve Madray says the western part of the state is a large region, covering nearly a third of the state and home to some of the most pristine areas in Texas. This region is sparsely populated and largely undeveloped, making it the perfect place for investors looking to buy raw land. Best of all, land in West Texas is still relatively affordable.
The median price per acre of land in Texas is $3,725 – well below the national average of $5,050 per acre. And in some parts of the state, land is available for as little as $1,200 per acre. Of course, not all of Texas is rural. The state is home to two of the nation’s largest cities — Houston and Dallas — both of which offer investors a wealth of opportunity, says Texas-based Steve Madray.
Houston’s real estate market is booming
The Houston real estate market is hot right now. The city’s housing market is up 8.0% year over year, according to the latest data from the Houston Association of Realtors. But despite the interest rate boom, house prices have risen at a slower pace than the national average, indicating greater stability and resilience in the face of rapidly rising inflation across the country.
Additionally, Texas’ Steve Madray says real estate prices remain well below the national average, making it a top market for investors hoping to capitalize on Houston’s rapid development. In July 2022, the median home price was just $320,000, which is about $25,000 below the national median of $346,900. And real estate sells fast. According to last month’s data, the average home was sold in just 14 days, underscoring the massive demand for real estate.
Investors wanting to capitalize on Houston’s booming real estate market should focus on the city’s downtown area, says Texas-based Steve Madray. Downtown Houston is undergoing a major redevelopment as a number of old office buildings and warehouses are converted into quality apartments and condominiums.
This redevelopment is attracting a new wave of residents to downtown and as more people move to downtown Houston, property values are expected to continue to rise. After all, considering that Houston is already the fourth largest urban center in the nation, home values could rival Los Angeles and Manhattan.
Texas continues to attract industrial investors
According to Steve Madray from Texas, the local economy is booming. The state’s unemployment rate is at a record low of 4%, and the state’s economy is expected to grow 4% this year, according to the latest data from the Texas Court of Accounts.
Texas-based Steve Madray says this growth is attracting a lot of attention from industrial investors. Companies like Tesla, Oracle, Samsung and Hewlett Packard are relocating to Texas to take advantage of the state’s business-friendly environment. And as more companies move to Texas, the need for industrial space is increasing by leaps and bounds. In the Houston area alone, an additional 15 million square feet of industrial space is expected to be needed by 2025.
Texas-based Steve Madray says investors looking to capitalize on growing demand for industrial space would be wise to focus on the Dallas-Fort Worth area. This region is home to a number of large companies including Walmart, Amazon and FedEx and as interest in the region continues to grow, the market value of available industrial space is sure to increase.
The final result
Texas is a prime location for real estate investors. The country offers a plethora of opportunities, from urban redevelopment projects to pristine brownfield sites. And best of all, Texas real estate prices are still well below the national average. For investors looking to get in on the ground floor, there’s no better time than now to invest in Texas real estate.