North Texas Housing Market Still Hot, Set to Continue
May 20th, 2013 | by AR
With timeless design, an outstanding location and a large lot in Greenway Parks, the home at 5518 Wateka Drive is an exceptional opportunity. Listed by Claire Dewar.
The North Texas housing market shows every sign that it will enjoy one of its strongest summer seasons in recent years.
Independent experts such as Ted Wilson with Residential Strategies are predicting that with the economy creating more than 100,000 jobs per year and interest rates remaining at record low rates, the boom in the local housing market is likely to continue at least until the end of the year.
Wilson estimates that homebuilders this year will construct 21,000 new homes in North Texas. That is well above the 13,126 new homes built in 2009. But it is well off the record home starts that once topped 50,000 new homes.
Both existing and new homes are in great demand this spring. Homebuilders cannot build new houses fast enough to keep up with the demand. And for well-priced existing homes the inventory is so low that Realtors at Briggs Freeman Sotheby’s International Realty report it is not unusual to get multiple offers on home listings.
According to the North Texas Real Estate Center, new listings in March declined by 2 percent, while closed sales jumped by almost 12 percent over March a year ago.
The low number of existing homes on the market has mystified some experts. Some homeowners say they still believe the market is not as strong as it is. Others believe that if they wait, prices will rise sharply in coming months and years. And others are afraid they will not be able to buy a house, if they sell their own.
Data shows that home prices have begun rising. Dallas-area home prices increased by almost 10 percent, not including distressed property sales, reports CoreLogic Inc.
When Residential Strategies compared home prices by square footage, Wilson and his colleagues were surprised to find that the average price has risen 20 percent over the last two years. In 2011, homes sold for an average price of $83 per square foot. A year ago in April, the square footage price was $92. Last month it was up to $102 per square foot, Wilson said.
The low inventory of existing homes is also increasing the number of home tear downs in older neighborhoods like North Dallas, the Park Cities, Lakewood and the M Streets, Wilson said.
Click here to see the latest business news and insight from top Dallas-Fort Worth Realtors. Click here to see luxury homes for sale in Dallas-Fort Worth and around the world.
Related Posts
Open Houses This Weekend: Wonderful Spaces for Entertaining →
How to Choose a Real Estate Agent →
Santa Will Light the Tree at Southlake Town Square →
