Dallas Projected 25%-30% Gains

Just the Facts

Dallas Projected to Have 25%-30% Home Price Gain

Over Next Three Years

Two recent respected studies, one from a federal agency and the other from one of the most respected world banks, show that home prices will increase in most, but not all U.S. cities over the next three years.  Both reports show that Dallas is poised to have the largest price gain over the next three years of any American city, due to its significant expected population growth.   Houston and Denver also rank high in expected price gain.   Some major U.S. cities are still expected to have declining home values.

71% Believe Their Home Value Will Go Up in 2013

What a change a few months make.  In December polling, some 71% of Americans believe the value of their home will increase in 2013.  That is up from only 37% that believed that just ten months ago.   With that optimism, Americans are beginning to “move-up” again – selling their existing home and buying a large home.   The percentage of first time home buyers is stable, but with the increase of move-up buyers, the real estate market is hot in almost every part of the United States.     Virtually every market saw a 5% to 25% increase in home sales in 2012, and that number will surely increase in 2013.

-          Real Trends Report, January 12, 2013

Home Affordability Record in 2012

The National Association of REALTORS announces that 2012 was a record year for housing affordability.  NAR’s national Housing Affordability index stood at 198.2 in November, based on the relationship between median home prices, median family income and average mortgage interest rate.   The higher the index, the greater the household purchasing power; record keeping began in 1970.  An index of 100 is defined as the point where a median-income household has exactly enough income to qualify for the purchase of a median priced single-family home.  Housing affordability was 184 in 2011, and is projected to drop to 160 in 2013, due to rising home prices and increased government regulations.

-          REALTOR Mag, January 2013