DFW HOUSING
While so many major markets across the country are experiencing housing slumps, Dallas-Fort Worth remains one of the countrys two strongest housing markets. This can be attributed to several factors, among them a healthy local economy, high employment rates, stable economy, steadily growing home values and home affordability. These, in turn, have contributed to the DFW areas reputation as a low-risk real estate market.
The current slowdown in housing starts, due to an abundant supply of new home inventory, has had little effect on the median price of new homes in Dallas-Fort Worth. Values continue to increase and should escalate further as existing inventory is sold. As a result, theres no time like the present for families like yours to make a new home purchase and take advantage of the affordable prices and the anticipated growth in value after you buy. you’ll find DFW an excellent place to live with a steady, long-term appreciation in the value of your home.
Low Risk Housing Market
DFW Is A Low Risk Market
This listing of the U.S. real estate markets ranks each on the likelihood for future price devaluation. DFW’s strong local economy, continued employment growth, housing affordability, stable home prices and steadily increasing home appreciation make it a very low risk real estate market.
DFW & Houston—Strongest Housing Markets in the United States
Dallas and Houston are the only two major markets in the U.S. rated as Strong Housing Markets
Supply vs. Demand: Housing Market Returning to Balance Levels
Builders slowed new home starts (supply) by 36% in 2007. Closings (demand) fell by only 17% in 2007. Builders are now closing about 7,500 more houses per year than they are starting. With the slowdown in new construction, the supply of new homes will tighten in the months ahead.
Construction Levels Are Plummeting
The number of new homes under construction fell from 13,140 units at year-end 2006 to just 7,785 units at year-end 2007, a reduction of over 40%. This is the lowest level of construction activity in 14 years. Once the excess supply of finished houses is worked down, builders do not plan to offer discounts on new construction.
Finished Vacant Housing Inventory: Going, Going, Gone!
Builders got caught with too much housing inventory when the market turned. This inventory is steadily being worked down and should return to normal levels this spring.
No Housing Bubble In DFW
Year-Over-Year Housing Price Appreciation: DFW vs. U.S. Average (OFHEO)
Unlike many other markets in the U.S., DFW has not experienced the massive appreciation and then depreciation of housing values. Housing appreciation has been slow and steady in DFW
Price
DFW Not Experiencing Price Declines Seen In Many Coastal Markets
S&P/Case-Shiller Index: DFW vs. 20 City Composite Index
The 20 City Composite Index fell 8.9% for the 12-month period ended December, 2007. DFW displayed more stable house prices with a year-over-year change of -2.4%
Texas Has Moderate Price Appreciation
Texas has maintained steady 6.3% house price appreciation while coastal markets have lost double digit percentages of their home’s value.
DFW Median New Home Price Continues to Escalate
Despite competitive market conditions, the base price of new homes continues to increase in DFW, now over $200,000.
Comparing House Prices: DFW Still Affordable
Average Price of a 2,200 sf house with 4 bedrooms, 2.5 baths, family room, 2-car garage
DFW housing remains affordable compared to the rest of the U.S.
DFW Has A Much Tighter Supply of Existing Home Inventory Than Most Markets
Month Supply of MLS Resale Homes YE 2007
Housing inventories are significantly lower in DFW than the national averages.
