Houston Real Estate Highlights in JuneSingle-family home sales were down 12.8 percent year-over-year, the 15th consecutive month of slowing sales volume, however there were signs of overall improvement to the local housing market;Compared to pre-pandemic 2019, single-family home sales were up 3.9 percent and were up 2.3 percent versus the volume five years ago, in June 2018;The luxury segment, consisting of homes priced from $1M and above, saw its first gains in months, climbing 5.9 percent year-over-year in June; Days on Market (DOM) for single-family homes rose from 28 to 45 days;Total property sales fell 13.7 percent with 10,382 units sold;Total dollar volume dropped 13.4 percent to $4.2 billion;The single-family median price dropped 2.5 percent to $345,000;The single-family average price fell 0.5 percent to $431,092; Single-family home months of inventory registered a 3.1-months supply, up from 1.9 months a year earlier – the biggest supply in three years;Townhome/condominium sales experienced their 13th straight monthly decline, falling 17.5 percent, with the median price down 2.5 percent to $217,000 and the average price down 2.7 percent to $252,845;Compared to pre-pandemic 2019, townhome and condominium sales were up 5.1 percent.Source HAR

Good segment anyway and an interesting listen-https://www.npr.org/2018/04/17/601925433/a-decade-after-the-bubble-burst-house-flipping-is-on-the-rise

It's hard to stand out.There are some owner-occupied segments with people who share motivating factors for selling their home.Seniors with Long-time Ownership: often ready to downsize or transition to assistance.Homeowners with Low Financial Stability Scores (FSS): Struggling financially and likely ready to cash in on their asset.

It is incredibly diverse and it is unlikely to be impacted by continued decline in that segment.  

Just wondering what the particular customer segment is for this type and size of property.

Once you identify a segment that will provide the reliable income you need, determine what and where they currently rent.

To increase the likelihood of finding a reliable tenant each time, the property should attract a segment with a high concentration of reliable tenants.Housing Characteristics and Tenant Segment Housing RequirementsEach tenant segment has a specific set of housing requirements.

On the top end we have a volume (life-style) segement between $1,200 and $2,000, a luxury segment from $2,000 to $3,000 (for example in trendy lake front areas like the Third Ward and in the suburbs, like Mequon, Menomonee Falls, Brookfield etc.

A reliable tenant is someone who:Has stable employment in a market segment that is very likely to be stable or improve over timePays all the rent on scheduleTakes care of the propertyDoes not cause problems with neighborsDoes not engage in illegal activities while on the propertyStays for many yearsMost Las Vegas multi-family properties do not attract reliable tenants.

Small towns may rely too much on a single business or market segment.