Just the Facts
Area Home Resales Set All-Time Record
The sale of pre-owned homes in North Texas were up 23% in May from 2012 levels. Real estate agents sold 9,197 pre-owned single family homes in May – the most ever in one month. The number of new listings rose 8%. But the total number of houses for sale in the metro area is still down 22% from May 2012. “With sales remaining strong and inventory remaining very low, I think we will continue to see increasing prices this year,” said David Brown, president of the Metrostudy Inc. Dallas office. The median price of pre-owned homes sold by Realtors in North Texas rose in May to a record $180,000. This 11% increase over May 2012 brings the area’s median price of homes to about 16% higher than the peak in mid-2007, before the Great Recession.
- Dallas Morning News, June 11, 2013
RE/MAX DFW Associates Up 55%
RE/MAX DFW Associates was up 55% in May, which broken down was a 37% increase in closed units and an 18% increase in average sold price. According to NTREIS, the North Texas area was up a combined 34%, which was a 23% increase in homes closed and a 11% increase in home sale prices.
The Housing Boom is Nationwide
- 65% - percentage of sales in Miami close with all cash, no financing
- 50 offers – the average number of offers per new listing in San Francisco
- $100,000 cash – the amount over list in Boston for numerous home sales
It is unprecented in U.S. history. The housing recovery continues unabated across the nation, and the pent-up demand could last for three years. What is unique to this housing boom is that it is nationwide – all areas of the nation are seeing rapid home price increases and a dwindling available inventory.
- New York Times, June 9, 2013
Housing Prices Nationwide Rise 12.1% in April
The housing boom is nationwide. The monumental change represents the biggest year-over-year increase since February 2006 and the 14thconsecutive monthly increase in prices nationally. And on a month-to-month bases, home prices increased 3.2% in April over March. The western states are averaging 20% or more annually in home price increases, with 24.6% increase in Nevada, 19.4% increase in California and 17.3% in Arizona.
- RISMedia, June 7, 2013
Are We Headed For Another Bubble?
In Texas, absolutely not. The home prices in Texas average about 20% less than nationwide due to our expanse of available land. This housing recovery is sorely needed for Texas and other middle America states so that home prices can rise to appropriate levels. However, East Coast and West Coast may be a different story. West Coast has a history of rapidly escalating home prices, and then a free fall when the economy or housing market change. California seems to be known for the “bubble.”
- Inman News, May 2013 (excerpts)
