Lee County Entry-Level Homes: Can Buyers Afford Them?

Can buyers in Lee County afford the homes available today? The median sale price for entry-level properties (the bottom quartile of sales) is $347,000 across 48 closed sales in the rolling six months ending September 30, 2026. With a current mortgage rate of 7.32% from the Freddie Mac Primary Mortgage Market Survey dated October 22, 2026, monthly payments have risen significantly compared to previous years. ALEX Intelligence calculated the affordability impact using a standard scenario: a 20% down payment on a median-priced home with a 30-year fixed loan at the current rate. At this price point and rate, the principal and interest payment is $1,907 per month. To make these homes more accessible, buyers are increasingly relying on buydowns. A standard 3-2-1 buydown would cost approximately $12,924 upfront, lowering the initial rate to 4.32% for the first year and reducing the monthly payment by $530 during that period. The market has also seen a shift in home size. The median living area for these sales is now 1,946 square feet, up 16% from the prior six-month period. While prices have risen 9.3% compared to the previous six months, the number of closed sales has increased from 32 to 48, suggesting that despite higher rates, demand for entry-level inventory remains present in Lee County. The median price per square foot stands at $180, which is 5.3% higher than the prior period but 10.9% lower than the same window last year. This indicates that while home prices are up, the value per square foot has softened slightly compared to the previous year, offering some relief in terms of space acquired for the price paid. Want a closer look? Reply or call George at 713.918.9951 and we'll set up a showing. Data from Unlock MLS. Information deemed reliable but not guaranteed. Model outputs are ALEX Intelligence estimates, not appraisals. Read more Central Texas market data on the ALEX blog: https://alex-companies.com/blog