Category: Market Conditons
Preowned home prices in the Dallas area ended 2014 with a 7.5 percent gain from 2013, according to the latest Standard & Poor’s/Case-Shiller Home Price Index.
December’s price increase was slightly lower than the 7.7 percent annual rise reported in November. It’s in line with year-over-year price appreciation during the second half of last year.
“As long as we have a tight sellers’ market, it’s going to be in that area,” said Dr. James Gaines, an economist at the Real Estate Center at Texas A&M University. “The good news is it’s not 12 or 15 percent. “We can live with this for a while.”
The Dallas-area price rise was well above the 4.6 percent nationwide appreciation rate in December.
Dallas had the fourth-highest increase among the 20 major markets that Case-Shiller surveys for its monthly report.
“Movements in home prices show clear regional patterns,” said S&P’s David Blitzer. “The western half of the nation plus Miami and Atlanta enjoyed year-over-year increases of 5 percent or more.
“San Francisco and Miami were the strongest,” he said. “Dallas, Denver, Las Vegas and Atlanta also experienced solid gains.”
San Francisco prices were up 9.3 percent from December 2013 levels. Prices in Miami were up 8.4 percent.
Dallas-area home prices are now almost 13 percent higher than they were before the recession and have risen more than 30 percent since early 2012.
“The affordability is coming down,” Gaines said. “It’s particularly hitting the low- to moderate-income groups.”
Case-Shiller’s study tracks over time the prices of specific single-family homes in each metropolitan area. The index survey does not include condominiums and townhouses.
The median price of homes sold in North Texas by real estate agents through their multiple listing service was 11 percent higher in December from a year earlier.
Source: Dallas Morning News
Steve Brown’s recent article in the Dallas Morning News, “Dallas home prices continue to gain with 7.6% rise over last year” reported the Dallas area is among the top five markets in the country for home price increases in the latest Standard & Poor’s/Case-Shiller Home Price report.
The article also quotes, Metrostudy’s David Brown to say “The Dallas-Fort Worth market is heading into 2015 with even less inventory than was in the market a year ago.”
The Dallas-Fort Worth Metroplex encompasses 13 counties, 9,286 square miles and is a very large housing market. There are several RAC members in the Dallas-Fort Worth area, so if you need information concerning a specific sub-market, please do not hesitate to give them a call.
Source: Omaha Area Board of REALTORS
The leading Omaha, Nebraska appraiser and RAC member Gregg Mitchell speaks to a packed house on market conditions in what has become a must-attend annual event for Omaha Realtors.
To read more about the event and Gregg’s views, go to the Omaha Area Board of Realtors publication Focus (page 3).
Texas is one of five states seeing home prices higher than before the recession. (CoreLogic)
Dallas-area home prices were up 11 percent in March from a year earlier, according to a new report from CoreLogic Inc.
The Dallas-area gain was about the same as the 11.1 percent nationwide increase, CoreLogic said Tuesday.
A shortage of homes for sale in many markets – including North Texas – is fueling large home price gains.
“This supply and demand imbalance continues to drive home prices higher, even though transaction volumes are lower than expected,” CoreLogic economist Mark Fleming said.
The biggest annual home price increases in March were in Riverside, Calif., 20.9 percent, and Los Angeles, 17.1 percent.
“Colorado, the District of Columbia, North Dakota, South Dakota, Texas and Wyoming all surpassed their previous home price peaks in March 2014,” CoreLogic said. “In all, 23 states and the District of Columbia are at or within 10 percent of their peak home price appreciation.”
Not surprising considering the undersupply many
market segments have been experiencing in North Texas.
— Michael S. Cook, MAI, SRA
One of the key characteristics of the US housing market in 2014 has been limited supply of inventory. That lack of supply is placing upward pressure on housing prices as demand persists.
Long time RAC member, appraiser and current Secretary/Treasurer Gregg Mitchell, SRA of Mitchell & Associates of Omaha was recently quoted in The Omaha World Herald describing the events that brought us to this condition:
Mitchell described the last two years as an exceptional rebound period where record low interest rates and pent-up demand spurred sales. The spurt peaked last spring and was followed by unsettling national events such as the federal government’s partial shutdown and a rocky rollout of Obamacare. With winter now past and interest rates still low, Mitchell said, activity should pick up.
Here is what he expects for 2014:
“We are really seeing a surge in demand and we’re going to see prices move this spring,” Mitchell said.