Buyers should look at these home value trends as a break in the action, and a great opportunity to jump into a market that all signals point to as staying extremely hot for the foreseeable future.
Dallas, Texas (PRWEB) September 05, 2013
As those looking to break into the Dallas home market of 2013 well know, this has been one of the hottest major metro markets in the country this year, with high demand and low inventory contributing to soaring prices. In fact, an August 28th S&P/Case-Shiller Home Price Index report stated that not only was Dallas one of just a few markets nationwide to see home values rise above post-recession peaks, it additionally posted a record gain of 8 percent year-over-year for home sale prices in June, the most recent month on record.
If this news sounds daunting to those who’ve been eagerly waiting to scoop up Dallas homes all year, another major trend developing in recent weeks should assuage some fears. Prudential Texas Properties reports that an August 26th analytics release from California-based real estate data tracker Altos Research saw the median list price for Dallas homes at $329,000. While that number may still sound high to potential Dallas home buyers, what it represents is something that this market has rarely seen all year: home values dropping.
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Not drastically, but enough to give potential buyers some hope. Looking at Altos’ reports for Dallas homes for August 12th and July 8th, the median list prices were at $339,998 and $349,700, respectively. That’s a drop of more than $10,000 over the course of the last two weeks and $20,000 over the course of about a month and a half. A recent article in The Dallas Morning News said that economists were identifying price drops around this time of year as symptomatic of rising national mortgage rates and increased construction, not to mention changes in available foreclosure inventory.
All this said, anyone thinking that the Dallas home market is in for a major home value downfall should take a closer look at the inventory and supply and demand numbers that still see Dallas as a clear-cut seller’s market. With Altos listing 2,456 properties on the market in its August 26th report, that number is actually a slight decrease from the 2,480 properties that Altos listed in its July 29th Dallas home report. And in looking at inventory rates for the area, they’ve been incredibly stable since late May, with minor variation in the number of homes listed week-to-week. Beyond this, with 99 average days on market, Dallas homes are seeing quicker turnaround than at any time since mid-May. In other words, for as advantageous as the lowering value trends may look to potential buyers, there are contradictory trends that also cater to area sellers.
“The market is not sliding dramatically,” says DD Flynn, VP of Marketing with Prudential Texas Properties. “Rather, buyers should look at these home value trends as a break in the action, and a great opportunity to jump into a market that all signals point to as staying extremely hot for the foreseeable future.”
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