On a daily basis DFW residents see the impact of supply and demand on gasoline prices, produce aisle, and even the trendy, new electronics that hit the market each day. The housing market in Dallas is no exception.
Dallas is experiencing a combination of very low supply of pre-owned homes hitting the market and an ever-increasing demand for pre-owned homes in the same price range. The recent shortage of pre-owned homes in the Dallas area created a decrease in options for home buyers which in turn causes a “seller’s market.” At the same time, an increase of big businesses (notably: Toyota, State Farm, and Liberty Mutual Insurance) moving to the area continues to fuel the demand for housing.
DFW area home costs rose by 9 percent in one year
According to the Dallas Observer, homes in the DFW area cost almost 9 percent more overall than in the spring of last year. While some growth is expected on a year-to-year basis, this increase is more than double the growth experienced across the United States and the fourth highest throughout the nation. A critical factor is the record low amount of pre-owned homes hitting the market. This level of shortage hasn’t occurred in the last two decades.
Ted Wilson, a housing analyst for the Dallas area, noted that combined with low mortgage rates, this increase in home prices is not quite detrimental to the housing market. However, there may be negative effects on our housing market if these prices continue to rise.
What Does all of This Mean to You, the Home Buyer?
At a time when real estate in the area is experiencing a “seller’s market,” it’s more important than ever to seek assistance from a Buyer’s Agent. A Buyer’s Agent not only helps negotiate a fair price for the home, but they also guide you through the entire process of purchasing a home.
Here at Bill Shields we care about one thing – securing the best possible deal for our buyers. Contact us today to learn more about what we can do to help you.