Dallas Home Prices Continue to Climb

According to recent data, home prices in the Dallas area have grown by 8.8 percent, placing the region among the top three cities in the United States in terms of rising home prices.

The S&P/Case-Shiller Home Price Indices indicate that home prices are continuing to go up throughout the country, though the speed of growth does not seem to be accelerating. Furthermore, when comparing year-over-year data of April 2015 compared to April 2014, some markets are certainly experiencing a far faster pace of growth than others.

For example, while Dallas experienced 8.8 percent in growth, San Francisco experienced 10 percent growth and Denver experienced 10.3 percent growth. Nationally speaking, the data indicates that home prices experienced a 4.6 percent year-over-year gain when focusing solely on the 10-city composite. When broadening the statistics to include the 20-city composite, the year-over-year gains were 4.9 percent.

The New York Fed has predicted that the national average price increase for home owners and renters will be 4.1 percent, which is slightly lower than what the S&P/Case-Shiller Home Price Indices are showing. Figures from both sources are lower than the long term annual price change of 4.9 percent that has been recorded since 1975.

The Future of North Texas Real Estate Prices

Most experts agree that North Texas real estate prices are likely to continue to rise, largely due to the fact that inventory levels are still tight. While prices have already been going up, it hasn’t had much of a negative effect on the market because low mortgage rates have made up for the price increase. This has helped to make financing remain affordable for most interested buyers.

Given the current trends in housing costs, the real factor affecting the market will be household income. With so many businesses moving to the North Texas region in search of qualified workers, wages within the region have been going up along with housing costs. This increase in wages will help consumers absorb the rising cost of purchasing a home.

Of course, for those who want to get the best price on a home in North Texas, it is better to buy now rather than waiting. With prices continuing to go up along with mortgage interest rates expected to increase, it won’t be long before purchasing a home in the region will be far more costly.

Similarly, with the Dallas/Fort Worth region growing in popularity, the demand for housing is also going to increase. While there have been several developments in the region to help address the influx of new people, the construction of new residential developments is not likely to keep up with population growth. A low inventory paired with an increase in demand is a formula for further increasing prices.

If you are interested in learning more about the North Dallas real estate market or if you would like to explore housing opportunities in the region, contact our team of experienced real estate experts today. We will be happy to help you find the Irving home that best suits your lifestyle and budget.

Check out these Irving homes priced from $350,000 to $450,000