Each year, HUD’s Economic and Market Analysis Division prepares Comprehensive Housing Market Analyses that assist and guide HUD in its operations. Corpus Christi, Texas was one of four cities selected from around the country for HUD’s first round of the 2022 Comprehensive Housing Market Analyses. The factual information, findings, and conclusions contained in the reports could also be useful to builders, mortgagees, and others concerned with local housing conditions and trends. For each analysis, HUD economists develop a factual framework based on information available, as of a particular date, from both local and national sources. Each analysis takes into consideration changes in the economic, demographic, and housing inventory characteristics of a specific housing market area during three periods: from 2000 to 2010, from 2010 to the as-of date of the analysis, and from the as-of date to a forecast date. The reports present counts and estimates of employment, population, households, and housing inventory.

Executive Summary:

The Corpus Christi Housing Market Area (HMA), on the Texas Gulf Coast, is coterminous with the Corpus Christi, TX Metropolitan Statistical Area, which consists of Aransas, Nueces, and San Patricio Counties. The current population is estimated at 449,100. These are the three market qualifiers studied.

Rental Market: The average apartment rent in the HMA increased 7 percent, to $1,070 a month, from the fourth quarter of 2020 to the fourth quarter of 2021. Rental market conditions transitioned from soft in 2010 to balanced; the rental vacancy rate was 12.2 percent in 2010 and has fallen to an estimated 6.8 percent. Strong renter household growth contributed significantly to the absorption of vacant rental units and to the decline in the vacancy rate since 2010. During the 3-year forecast period, demand is expected for 1,750 additional rental units; the 550 units under construction are expected to meet a portion of that demand during the first year of the forecast.

Sales Market: During 2021, the respective average sales prices for new and existing homes increased 7 and 9 percent.

The home sales market is balanced, with an estimated current vacancy rate of 1.1 percent, down from 2.5 percent in April 2010. The inventory of single-family homes for sale fell to a 1.9-month supply in December 2021, down from 2.5 months a year earlier. New and existing home sales increased 7 percent during 2021 (CoreLogic, Inc., with estimates by the analyst). During the 3-year forecast period, demand is estimated for 4,725 additional sales units; the 900 units under construction are expected to meet a portion of demand during the first year of the forecast period.
Economy: Nonfarm payrolls increased 1.4 percent during 2021, remaining 5.4 percent below the prepandemic peak during 2019.

Economic conditions in the Corpus Christi HMA improved during the past year, following a year of nonfarm payroll decline. During 2021, nonfarm payrolls in the HMA increased by 2,600 jobs, or 1.4 percent, to 183,500 jobs, following a decline of 13,000 jobs, or 6.7 percent, during the previous year. A significant portion of the decline during the previous year was in the leisure and hospitality sector, with a decline of 3,700 jobs during the period. Even though the leisure and hospitality sector led job growth during 2021, it remains 2,300 jobs, or 8.8 percent, below the 2019 level. During the 3-year forecast period, nonfarm payrolls are expected to expand at an average annual pace of 1.6 percent, with notable growth expected in goods-producing and service-providing sectors