The housing market has been an upward trajectory nationwide, but this trend has been especially prevalent in North Texas and, more notably, in Dallas.
Citing data from Standard & Poor’s/Case-Shiller report, the Dallas Morning News reports that Dallas is one of only two major markets in the U.S. where home prices have already surpassed pre-recession levels.
“We are still going up by a much greater rate than our long-term norm,” Dr. James Gaines, an economist with the Real Estate Center at Texas A&M University, told the news source. “Normally, Dallas doesn’t see that.”
Gaines added that he doesn’t think the 8 to 8.5 percent increases in home prices will likely last for very long.
David Blitzer of S&P added that across the nation, tighter lending standards and rising mortgage rates are curbing the rise in home prices and helping to balance the market.
In North Texas, this trend is actually welcome as should the prices rise any higher, another bubble could form, which would set the housing market recovery back even further.
Taking a closer look at the North Texas data, we see that so far this year, median prices of pre-owned single-family houses were up 11 percent in the region. It might take a while for home prices to be affected by the mortgage conditions that are putting downward pressure on the seller’s market.
Still, as stated above, this is an important progression in the overall recovery of the housing market as although a seller’s market emerging was needed in order to pull the housing market from the doldrums of the recession, it is important that the market balance itself out and return to pre-recession levels.
In North Texas, that could be reality soon enough. Regardless, there are plenty of North Texas housing opportunities and Dallas homes for sale are still flying off the market as consumer confidence and economic health are encouraging home buying among consumers.
If you’d like to learn more about the area’s housing market, contact us today as we’d love to show you around.