Potential homebuyers who have been waiting for prices to drop a bit may start seeing better deals as the housing market continues to calm.
The Dallas-Fort Worth area’s median July home sales price was $421,000, up 15% from July 2021 but down 3% from June. latest numbers From the Texas Real Estate Research Center at Texas A&M University and the North Texas Real Estate Information System. This is the biggest monthly price drop since at least 2020, even though home prices are more than $100,000 higher than they were two years ago.
Marissa Benat, president of the Collin County Real Estate Association and real estate agent at eXp Realty, said: “But for buyers who have been sitting on the fence so far, now is a good time to go back and move on and get that house. They were.
Rising mortgage rates, combined with the shock of rising home prices and inflationary pressures, have caused some buyers to stop or delay entering the market.
“Rate increases definitely increase buyer fatigue,” says Benat. “Some have run away completely because they can’t afford the home they really needed. They probably should have pulled the trigger six months ago.”
The number of existing homes sold in Dallas-Fort Worth in July is down 14% year-over-year from July 2021 to 2022, with 8,214 units sold in the area, but last year’s sales hit a record low. mortgage interest rates were very strong. The decline is not surprising.
“2018 was a year of miracles. [sales] It will go up again,” said Jim Gaines, an economist at the Texas Real Estate Research Center. “We wanted the 2% and 3% rate to continue, but of course it didn’t happen.”
The number of active listings from Dallas to Fort Worth increased 59% to 18,378 units.In just three months, the market has stock increased Monthly supply increased from 0.9 months in April to 2.2 months in July. This is well behind inventory levels that would be considered a balanced market between buyers and sellers, or roughly six months’ worth of supply.
As more inventory becomes available, agents become more conservative in pricing, listing homes that are close to the lowest or average price of homes sold in the community rather than aiming for the highest possible price. , Benat said.another report from realtor.com 27% of Dallas-Fort Worth properties on the market showed price reductions.
Keller Williams’ Southlake real estate agent Michael Herschenberg is taking VA and FHA loans as markets soften, offering tens of thousands of dollars above the asking price to cash buyers. Buyers who can’t afford to pay more said they are now having more success. Sign a contract.
“What was needed was a fix,” he said.
Herschenberg believes house prices will continue to rise through 2023, but not as rapidly as this year.
“There is some uncertainty in the country, but the number of people coming to Texas from states like California, New York and Florida is hedging the market and giving it a little bit of stability,” Hershen said. Berg said.
Home prices in Collin and Denton counties have risen the most in the past year, with Collin County still holding the highest median at about $550,000.