5 Reasons You Need To Hire a Professional

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3:42 PM (20 hours ago) Buying or Selling a Home? 5 Reasons You Need To Hire a Professional 1. What do you do with all this paperwork? Each state has different regulations regarding the contracts required for a successful sale, and these regulations are constantly changing. A true Real Estate Professional is an expert in their market and can guide you through the stacks of paperwork necessary to make your dream a reality. 2. Ok, so you found your dream house, now what? According to the Orlando Regional REALTOR Association, there are over 230 possible actions that need to take place during every successful real estate transaction. Don’t you want someone who has been there before, who knows what these actions are to make sure that you acquire your dream. 3. Are you a good negotiator? So maybe you’re not convinced that you need an agent to sell your home. However, after looking at the list of parties that you need to be prepared to negotiate with, you’ll realize the value in selecting a Real Estate Professional. From the buyer (who wants the best deal possible), to the home inspection companies, to the appraiser, there are at least 11 different people that you will have to be knowledgeable with and answer to, during the process. 4. What is the home you’re buying/selling really worth? It is important for your home to be priced correctly from the start to attract the right buyers and shorten the time that it’s on the market. You need someone who is not emotionally connected to your home to give you the truth as to your home’s value. According to the National Association of REALTORS, “the typical FSBO home sold for $210,000 compared to $245,000 among agent-assisted home sales.” 5. Do you know what’s really going on in the market? There is so much information out there on the news and the internet about home sales, prices, mortgage rates; how do you know what’s going on specifically in your area? Who do you turn to in order to competitively price your home correctly at the beginning of the selling process? How do you know what to offer on your dream home without paying too much or offending the seller with a low-ball offer? Dave Ramsey, the financial guru advises: “When getting help with money, whether it’s insurance, real estate or investments, you should always look for someone with the heart of a teacher, not the heart of a salesman.” Hiring an agent who has their finger on the pulse of the market will make your buying/selling experience an educated one. You need someone who is going to tell you the truth, not just what they think you want to hear.

Dallas Home Prices Jump 14% in May

Dallas Home Prices Jump 14% in May

North Texas home prices jumped by 14 percent in May – one of the largest year-over-year gains ever for the area.  Median home sales prices hit a record $215,000 last month for preowned single-family homes sold by real estate agents.  Home sales were up 6 percent from May 2014 with 9,484 properties sold.  It was the largest one-month sales total ever for North Texas, according to data from the Real Estate Center at Texas A&M University and the North Texas Real Estate Information Systems.  With the strong sales, the number of homes listed with real estate agents in the area dropped 15 percent from this same time in 2014. There was a 2.4-month supply of homes in real estate agents’ multiple listing service, less than half of what is considered a normal inventory.  May’s strong home sales and price spike will put more pressure on the local housing market which is stretched with more buyers than sellers.  National surveys show that the Dallas-Fort Worth area is seeing the largest annual home price gains in the country. Prices here are rising at about three times the long-term average rate of residential appreciation for the area.

-         Dallas Morning News, June 9, 2015

North Texas Median Home Prices Soar Above $200,000

North Texas Median Home Prices Soar Above $200,000

This spring’s scorching home market has propelled median house sales prices in North Texas above $200,000 for the first time.  In April, home sales prices in the area were up 14 percent to a record $207,000.  With the latest gains, the median price of preowned single-family homes sold by real estate agents in North Texas is almost 60 percent higher than it was in January 2010, at the worst of the recession.   And home prices in the area are now more than a third ahead of where they were at the previous peak of the housing market in 2007.  “The average home listing price has also jumped up for homes coming on the market,” said Ted Wilson, a housing analyst with Dallas-based Residential Strategies Inc. “More people are motivated to put their houses on the market at these higher prices.”  The Dallas area now leads the country in year-over-year home price increases, according to the latest national comparison from CoreLogic Inc.  In April, median prices were rising at about three times the long-term average annual growth rate.   April’s substantial increase in home sales prices in North Texas comes as some analysts are warning that residential values in Texas’ major markets are overheating.  A new report by Wall Street analysts Fitch Ratings said that Texas and Dallas-area home prices are 11 percent overvalued.

-          Dallas Morning News, May 8, 2015

For 11th Straight Year Texas Ranks as Top State to do Business

For 11th Straight Year Texas Ranks as Top State to do Business

CEO Magazine’s 11th annual survey of the “Best States to do Business” was released Friday and Texas topped the rankings for the 11th year in a row.  The news had Texas Governor Greg Abbott on cloud nine, saying the state won’t stop at its top ranking.  “Everything is bigger in Texas, and that includes our business climate,” Abbott said. “Despite being the number one state to do business for 11 consecutive years, Texas will do even more to empower businesses and increase economic expansion. That’s why I’m promoting policies to cut the business franchise tax, further rein in regulatory regimes and elevate our higher education system to bolster our workforce so that Texas keeps creating jobs and opportunity.”  In the rankings, Texas was ahead of Florida, North Carolina, Tennessee and Georgia which rounded out the Top 5. California was once again the worst state for a second year.  The rankings takes into account state GDP, unemployment, domestic migration, state government and state-local tax burden.

-          Dallas Morning News, May 8, 2015

A New 39-story Condo High Rise in the Arts District

      

The new 39-story condo next to Museum Tower    David Weekley InTown at 3 Locations

A New 39-story Condo High Rise in the Arts District

A 39-story tower planned for downtown Dallas’ Arts District will contain luxury apartments, artist lofts and retail space at Flora and Olive streets.   Developers will build a 39-story residential tower on one of the last vacant sites in the downtown Dallas Arts District.  The project at Flora and Olive streets is right next door to the Museum Tower and a block south of Klyde Warren Park.    The development will have 370 luxury apartments, 39 artists’ lofts and about 12,000 square feet of ground-floor retail space on the one-acre site between the Nasher Sculpture Center and the Meyerson Symphony Center.  “It’s a dense, urban project,” said Dallas architect Graham Greene, one of the partners in the project. “We took our inspiration from what has been done in New York, Los Angeles and San Francisco in their downtowns.   “It helps complete the Arts District — we have storefront retail all along Flora,” Greene said. “It adds a population of 400 to 500 residents, which is huge.”   Construction begins fourth quarter 2015.

-          Dallas Morning News, February 25, 2015

Top 5 Job Growth Cities in US

“Absolutely Phenomenal”

The Dallas-Fort Worth area added more jobs than any other metropolitan area in 2014, a feat it hadn’t achieved in at least two decades.  D-FW gained 136,900 jobs last year, followed by the New York area with 129,000 jobs, according to data released Wednesday by the U.S. Bureau of Labor Statistics. The Houston area was No. 3, with 120,600 jobs. The figures are not seasonally adjusted.  December was the first time that D-FW has ranked No. 1 in calendar-year net job growth since at least 1990, when the BLS began compiling comparable state and local records. Texas also led the nation in job creation last year, adding 457,900 jobs.  Bud Weinstein, an economist at Southern Methodist University, called D-FW’s 4.4 percent job growth rate last year “absolutely phenomenal.”   The 2014 job growth rates for both D-FW and Houston (4.2 percent) beat the state rate of 4 percent.- Dallas Morning News, February 4, 2015

Why Everybody Is Moving to Texas

Why Everybody Is Moving to Texas

Texas has become one of the hottest places to move to for both personal and business reasons over the past 5 years. In fact, over the past 5 years, more Americans—over 387,000 in 2013 alone—have chosen to move to Texas over any other state.

So what’s the big draw, y’all?

Best Reasons to Move to Texas

The number-one reason most people are relocating to other cities these days is their job situation—either they are looking to increase their earnings and career longevity or they have been unable to find a job in their current location and are moving for more opportunities.

The second most popular reason for relocating is housing affordability. For many people, these two reasons go hand in hand. Finding a place where they can secure a solid, good-paying job and purchase a home with increasing value in a nice neighborhood provides a great plan for long-term financial success and family security.

According to a recent study by Redfin, 9 of the top 10 fastest-growing U.S. metropolitan areas are those in which housing prices are the most affordable in the country. Of the top 20 fastest-growing cities, 5 belong to the Lone Star State: Austin, Houston, San Antonio, Dallas and Fort Worth.

Austin’s surge in population can easily be attributed to its consistently solid employment rate over the past 10 years. With an unemployment rate of just 4.6 percent and a projected growth rate of more than 4 percent by the end of 2015, Austin continues to have one of the strongest job markets in the state.

Another draw to the state is a low tax rate. This is especially important for many of the companies that are choosing to uproot themselves from the East and West Coasts and move inward to Texas. A lower tax rate and affordable real estate prices make it a no-brainer for larger companies wanting to save and smaller companies looking for a way to secure their financial future.

DFW Home Prices Rise 9.1% in October

CoreLogic: DFW Home Prices Rise 9.1% in October

Dallas-Fort Worth area home prices increased 9.1. percent in October year-over-year, outpacing the national average, according to the latest CoreLogic report releasedTuesday.   Overall, the country's home prices have been slowing down in the past few months and has only grown at moderate levels, according to economists.  "Home price growth is moderating as we head into the late fall and is currently running at half the pace it was in the spring of 2014," said Sam Khater, deputy chief economist at Corelogic, in a statement. "However, there are still pockets of strength, especially in several Texas markets, especially Dallas and Houston and other markets with strong economic fundamentals."   Based on CoreLogic projections, economists expect home prices to continue to rise, with home prices in over half of the United States to reach or surpass levels seen at the height of the housing bubble sometime in mid-2015.

-          Dallas Morning News, December 2, 2014

Dallas-Area Home Prices Reach Record

Dallas-Area Home Prices Reach Record

Prices of preowned homes in the Dallas area were up 7.4 percent in the latest Standard & Poor’s/Case-Shiller Home Price Index.  The gain in September from a year ago was the fourth highest in the country – significantly ahead of the 4.9 percent nationwide increase.  Home price increases nationwide have slowed in recent months, but in the Dallas area, the year-over-year price increases have remained steady.  Charlotte, North Carolina and Dallas continue to have price increases considerably above the national average.   Dallas-area home prices are now 12 percent higher than they were before the recession and at record level in the Case-Shiller index.

-          Dallas Morning News, November 26, 2014

NEW HOME SALES JUMP, RESALES DIP

NEW HOME SALES JUMP, RESALES DIP

Existing home sales slumped 1.8% in August – their first retreat since March, according to the National Association of Realtors. This followed gains of 2% or more in each of the previous three months. News about new home purchases was better: the Census Bureau recorded an 18.0% increase for August, more than making up for two months of declines. Keep in mind that these numbers may be significantly revised (as an example, May’s apparent 18.6% advance in new home buying was reduced to an 8.3% gain a month later)

Texas Economy Continues to Boom

Texas Economy Continues to Boom

The Texas economy grew faster in the second quarter, thanks largely to the booming energy industry and strong commercial real estate activity, according to a report by the Federal Reserve Bank of Dallas.  Employment growth is a big part of that picture. Texas’ annualized job growth rose from 2.4 percent in the first quarter to 4.3 percent in the second quarter — the strongest pace in nearly nine years. And that happened even though employment growth slowed in May and June.  The state’s job creation is outpacing the nation’s in all major industries except construction, manufacturing and other services in the first half of 2014. The Dallas Fed forecasts 3.5 percent employment growth this year, or 400,000 new jobs.

-          Dallas Morning News, August 11, 2014

Dallas-Ft Worth’s Economic Growth Outpaces Texas

Dallas-Ft Worth’s Economic Growth Outpaces Texas

The Dallas-Fort Worth economy has grown faster than the state average and its employment has increased faster than any other Texas major metro area in the first half of the year, according to a report issued yesterday by the federal reserve Bank of Dallas.  DFW employment has grown 4.5 percent this year through June, compared with 3.5 percent growth with Texas.  Local job creation in the second quarter (5.5 percent or 42,600 jobs) outpaced first quarter growth (3.4 percent or 26,500 jobs).  Most of the region’s employment gains have come from fast growth of the Dallas economy, which has added jobs at a 5.4 percent pace in the first half of the year.  The professional and business service sector saw the most growth.  Manufacturing is the only local industry to lose jobs (-700) in the first six months of the year.

-          Dallas Business Journal, July 22, 2014

Dallas No Longer in Top 10 for Traffic Congestion

Dallas No Longer in Top 10 for Traffic Congestion

The nation's worst rush-hour traffic can be found, not surprisingly, in Los Angeles. But the No. 2 city is a surprise.   Each year, three organizations produce traffic congestion reports.   The reports estimate the “excess travel time” lost in traffic congestion during morning and evening weekday rush hours.     This excess time is relative to the travel time that would be expected if traffic were free-flowing and there was no congestion.   The Los Angeles metropolitan area notches the worst traffic congestion in all three reports — 44.4 percent excess travel time. The second worst congestion is in Austin, Texas, with 34.5 percent excess travel time.   San Francisco (34.4 percent) is No. 3 and New York (33.4 percent) is No. 4. Both cities have a high population density.   Seattle is No. 5 at 32.4 percent, due in part to the cancellation of some planned freeways.   Rounding out the worst 10 are San Jose, Calif. (32.2 percent); Washington, D.C. (31.3); Boston (29.7); Houston (28.3); and Portland, Ore. (28.2).

-          Newsmax, July 6, 2014

Wood Is Good: The Must–Have Material For Your Spring Home Spruce-Up

Wood Is Good: The Must–Have Material For Your Spring Home Spruce-Up

Thinking of sprucing up your home for spring? You're not alone; one in three homeowners say they'll take on at least one home improvement project in the first half of 2014, according to a recent survey by Burst Media. And it turns out, freshening your home for spring is a smart investment.

Home sales and prices are up, and mortgage rates are still considered low by historical standards. The combination is a recipe for a strong 2014 home remodeling forecast. Homeowners are regaining equity in their homes, and that confidence is expected to spur them to take on deferred projects for their own enjoyment, or upgrade their homes for sale.

In its annual survey, Remodeling Magazine reports that wood deck additions deliver the second highest return on investment of the home improvement projects surveyed. If you're looking for a way to make your spring spruce–up add value to your home, wood is a great option. Wood is known for its versatility, ease of use and natural beauty.

Whether you're looking to update your living space or transform your outdoor entertaining area, Mark and Theresa Clement, home improvement pros, offer simple, do–it–yourself tips for incorporating wood into your spring home improvement projects:

Prepping Decks for Spring Entertaining
"One of the best things you can do in the spring to spruce up your house is to clean and refinish your wood deck," Mark says. "The natural beauty of a well–maintained deck transforms a backyard into a gathering place."

After you've carefully cleaned the deck to remove dirt and debris, choose a finish. Both sealers and stains are designed to seal out elements. Clear sealers contain no pigment, allowing the natural beauty of the wood to show through. Stains may contain a little pigment (labeled as "tone" or "transparent"), be semi–transparent or come in solid colors. Avoid paint, which can form a film on top of the wood and bubble or flake.

Can't decide between a semi-transparent stain and a water–repellant sealer? Try using the sealer first. If you change your mind later, it's easy to switch to a semi-transparent stain when the deck needs to be refinished. If you do opt for a sealer, use one that contains ultraviolet light–blockers to protect against sun damage and mildewcides to inhibit the growth of mildew.

Add Crown Molding to a Room
Crown molding imparts an upscale, elegant air to any room — and you only need basic DIY tools to install it.

"Crown molding bridges the junction of walls and ceilings — a prominent visual location where an architectural accent can really shine," says Theresa. "While crown molding is a high–impact, higher–difficulty project, it's well within the abilities of most DIYers. Plus, you probably already have the tools you need in your toolbox — with a miter saw, nails and a hammer, you can transform your favorite room with a custom finish."

When choosing your molding, remember to keep a consistent scale from floor to ceiling.

You may be tempted to install a wide, impressive crown molding and skimp on the base or casings, but molding sizes need to be balanced throughout the room. Wherever possible, use corner pieces, plinth blocks and other transition pieces — they make installation simpler, minimize the need for miter cuts and help joints stay closed despite seasonal changes in humidity. Finally, don't paint your crown molding and trim. Instead, opt for a clear sealer and allow the natural texture of the wood to shine through, adding warmth, personalization and a natural touch to your interior decor.

Install Wainscoting
Wainscoting has long been a hallmark of fine construction and design. Wood paneling is applied to a lower section of wall — typically in dining rooms, but also in kitchens, hallways and even bedrooms. If you crave old–world elegance in your modern home, wainscoting is an easy, cost–effective way to achieve that look. Depending on the style you select and how you choose to finish your wainscoting, you can create whimsy or elegance, rustic appeal or modern sophistication.

If you choose to panel with wainscoting, it's important to ensure pieces are level. If yours will have a top cap, a router — a power tool used to bevel or round an edge on a square piece of wood — can provide nice detail at the top of panels. Finally, while wainscoting is frequently painted, there's no rule that says you must paint yours. Consider a simple clear sealer or semitransparent stain that will allow the natural beauty and character of the wood to shine through.

Highest Household Income Neighborhoods in the DFW Metroplex

According to the 2010 U.S. Census

Highest Household Income Neighborhoods in the Metroplex

1: Westlake (Westlake)
Mean Household Income: $526,590, Higley 1000 #12

2: Greenway Parks (Dallas)
Mean Household Income: $511,549, Higley 1000 #15

3: Westover Hills (Westover Hills)
Mean Household Income: $385,047, Higley 1000 #69

4: Old Preston Hollow (Dallas)
Mean Household Income: $338,351, Higley 1000 #158

5: Bluffview West (Dallas)
Mean Household Income: $335,935, Higley 1000 #168

6: Highland Park (Highland Park)
Mean Household Income: $330,032, Higley 1000 #188

7: Oak Tree (Dallas)
Mean Household Income: $327,123, Higley 1000 #204

8: Volk Estates-Windsor Place (University Park)
Mean Household Income: $323,486, Higley 1000 #218

9: Stratford Manor-Armstrong Fairway (University Park)
Mean Household Income: $322,282, Higley 1000 #224

10: Northaven Park (Dallas)
Mean Household Income: $313,955, Higley 1000 #251

11: Preston Hollow (Dallas)
Mean Household Income: $310,471, Higley 1000 #269

12: LakeSide on Preston (Plano)
Mean Household Income: $306,168, Higley 1000 #286

13: Willow Bend (Plano)
Mean Household Income: $304,801, Higley 1000 #296

14: Preston Royal (Dallas)
Mean Household Income: $304,679, Higley 1000 #299

15: Lakewood (Dallas)
Mean Household Income: $301,825, Higley 1000 #320

16: Bent Tree-Oakdale (Dallas)
Mean Household Income: $298,930, Higley 1000 #333

17: Timarron (Southlake)
Mean Household Income: $298,068, Higley 1000 #336

18: Timberlake-Princeton Park (Southlake)
Mean Household Income: $286,828, Higley 1000 #418

19: Bella Lago-River Hills (Flower Mound)
Mean Household Income: $281,696, Higley 1000 #456

20: Brook Meadows-Brighton Oaks (Colleyville)
Mean Household Income: $278,204, Higley 1000 #488

21: Cheyenne Village-Starwood West (Frisco)
Mean Household Income: $277,646, Higley 1000 #495

22: Russwood Acres (Dallas)
Mean Household Income: $275,175, Higley 1000 #523

23: Versailles-Cambridge Place (Southlake)
Mean Household Income: $271,015, Higley 1000 #566

24: University Heights-University Hills (University Park)
Mean Household Income: $266,284, Higley 1000 #620

25: Rivercrest Country Club (Fort Worth)
Mean Household Income: $265,238, Higley 1000 #632

26: Starwood East-Sterling Ranch (Frisco)
Mean Household Income: $265,076, Higley 1000 #635

27: Kings Ridge-Schoal Creek West (Plano)
Mean Household Income: $262,018, Higley 1000 #667

28: Stonebriar North (Frisco)
Mean Household Income: $261,486, Higley 1000 #676

29: Preston Trail Golf Club-Bent Tree Country Club (Dallas)
Mean Household Income: $260,066, Higley 1000 #700

30: Gentle Creek Country Club-Whitley Place (Prosper)
Mean Household Income: $255,529, Higley 1000 #766

31: The Dominion-Highland Oaks (Southlake)
Mean Household Income: $247,070, Higley 1000 #878

32: Denham Village-Whiffletree (Plano)
Mean Household Income: $245,842, Higley 1000 #896

33: Mansfield South (Mansfield)
Mean Household Income: $242,732, Higley 1000 #960

34: Bedford (Bedford)
Mean Household Income: $241,303, Higley 1000 #987

35: Loma Linda-Preston Place (University Park)
Mean Household Income: $240,133, Higley 1000 #998

Margaret Hunt Hill Bridge Dallas Texas

“The Bridge to Nowhere”

The naysayers proclaimed at one time that the proposed Margaret Hunt Hill Bridge at a cost of $93 million was simply a bridge to nowhere.  West Dallas was some of the worst slums in the city.   But the city of Dallas had vision, and today the area that once had some of the worst crime is being transformed into the newest hot spot.  Entire city blocks have been purchased for development.  Great restaurants have opened with more on the way.  There will be stunning views of the city from hundreds of new apartments now under construction.  Retail, shops, grocery stores – all now under construction.   A city once again transformed!

Energy Boom in Texas is Strong

Energy Boom in Texas is Strong

In Texas, oil and natural gas are synonymous with boom and bust.   A new field or a new technology brings a drilling rush and spectacular wealth.  Then just when nearly everyone has borrowed to the max, the bottom falls out.  Not this time, says John Auers, an oil analyst with Turner,  Mason & Co. engineering consultants in Dallas.   “This is a more sustainable and potentially longer-lasting boom,” he said.  “The early 80s were great times, but they became bad pretty quick.  That will not happen this time.”

-          Dallas Morning News. January 18, 2014

Gone to Texas

"Gone to Texas"

“Gone to Texas” was a common statement in the 1800s as people went west.  It is now a common statement again today.   In January, Texas gained 33,900 jobs while California lost 31,500 jobs.  The number one move across the nation is Californians moving to Texas.  It is jobs, it is cost of living, it is no income sales tax.  New home construction is booming across Texas, hence 6,200 of the new 33,900 jobs in December were construction related.   Politically, California is a liberal Democratic state.  Texas is the exact opposite, a conservative Republican state.   The typical Californian moving to Texas is a conservative, making California more liberal and Texas more conservative – day by day.  Two great states, and yet so very different.

-          Dallas Morning News (excerpts), January 15, 2014, January 18, 2014

Can Shadow Inventory Help Relieve Price Pressure?

By Lawrence Yun, Chief Economist, NATIONAL ASSOCIATION OF REALTORS®

Home prices grew at the fastest pace in seven years in 2013. This is good news for property owners, both homeowners and landlords, as they witnessed, on average, a $32,000 gain in housing equity over the past two years.  The equity increase is an immediate financial gain for many.  For others, it marks only a partial recovery.  That is, at the depth of the downturn there were about 12 - 13 million underwater homeowners.  Now, that figure has been essentially slashed in half. 

There is however some bad news along with the quickly rising home values.  Rising home values make it more difficult for first-time homebuyers to make a purchase.  The conditions will be exacerbated by the near-certain case of a rising interest rate environment in the coming years.  In order to lessen the upward price pressure, more inventory is clearly needed.  Homebuilders are raising production, but too late and at too small increments.  Though the most recent housing starts of a 1.1 million annualized pace in November was a solid 30 percent increase from the prior year, the pace is still insufficient.  For all of 2013, housing starts look to finish at 930,000. The long-term, 50-year annual average is 1.5 million housing starts each year.  So the recent past six consecutive years of less than one million new housing units was bound to make an impact on the market.  Existing home inventory is at a 13-year low while newly constructed home inventory is at a 50-year low. 

However, can shadow inventory then save the day in pumping out more homes available for sale?  There are still 2.3 million mortgages that are seriously delinquent (more than 90 days late) or already in the foreclosure process.  This is not counting underwater homeowners, but people who are not paying their mortgage.  Surely, the majority of these distressed mortgages will not ever be made current.  They will instead become REO properties at some point.  Unfortunately, even though 2.3 million seriously delinquent mortgages sound large, they are significantly smaller than what the number had been.  Four years ago, there were 4.3 million in a similar state.  Just one year ago, there were 2.9 million delinquent mortgages.  The bottom line is that we should expect less of an increase in shadow inventory turning into visible inventory. 

Due to differing foreclosure processes, however, some states have a much larger overhang of shadow inventory than others.  In places like Arizona, a homeowner is quickly evicted for being delinquent.  In other places, principally the judicial foreclosure states, the court system has the final say and the overall process tends to drag out for a long time – with a 2 - 3 year time span not uncommon.

What are the judicial states with continuing, plentiful shadow inventory that can hit the market?  Interestingly, they are in states where inventory shortage is not a problem.  Home-price growth has been sluggish and these states still have a shadow looming over their market.  [Price data used is from the NATIONAL ASSOCIATION OF REALTORS®] The following table shows the serious delinquency rates now and at peak (usually in 2008 or 2009, ranked by the latest home price appreciation for each of the 50 states). 

As one can see, where the inventory would be most welcome, there appears just not enough shadow inventory to help relieve home prices.  The top three, fastest-appreciating states of Nevada, California, and Arizona have reduced seriously delinquent mortgages by roughly 60 - 80 percent.   On the opposite end of those states where seriously delinquent mortgages have been cut by only a little (to the tune of 10 percent or so) - namely New Jersey, New York, Vermont, Delaware, Connecticut, and New Mexico – home price growth has been sluggish.  There are few exceptions to the rule.  Washington D.C., for example, has made only slight progress in reducing seriously delinquent mortgages, yet home price growth has been strong, no doubt due to the stronger employment conditions and from the fact that it already had a relatively low delinquency peak figure.

Lawrence Yun is the chief economist for the NATIONAL ASSOCIATION of REALTORS®. He will be sharing his insider insights on the national and regional housing markets in this new, exclusive column for the Power Broker Report.

DFW Needs more homes NOW!

Construction Booms in Frisco

29 Showings in 3 Hours

One of our agents posted in Facebook that a hot new listing yesterday had 29 showings in three hours.   This unprecedented housing demand has never been seen in the DFW area before – few listings, so many buyers.

So Few Homes For Sale

In The Colony it is only 23 active pre-owned listings.    In Coppell, it is 51 active pre-owned listings, and in Flower Mound it is 118 active pre-owned listings.   Just name the market, and the inventory is LOW!   Ten years ago, Flower Mound averages 735 active listings in MLS, Coppell averaged 250 active MLS listings.  Projections for 2014 – a great time for sellers to make a move, the listing inventory will remain very, very low.

Home Prices Will Go Crazy

“Something is going to have to give (in the DFW market) or you are going to see prices go crazy,” said Mark Dotzour, chief economist with the Real Estate Center at Texas A&M.  “Forget about the housing bubble issue – this is really about supply and demand in the DFW market.”  Supplies of both new and pre-owned homes in the DFW market are at the lowest level in decades because of lower construction levels and record demand for properties.  “You have a huge increase in demand because of the change in buyer psychology,” Dotzour said.  “The normal supply side is constrained because of credit and availability of labor.”

-          Dallas Morning News, January 18, 2014

DFW Needs More Housing Now!

Texas economic growth is the envy of the nation.  But a shortage of homes for sale and soaring housing prices could threaten the state’s continued economic welfare, notes Mark Dotzour, chief economist for the Real Estate Center at Texas A&M.  “The number one economic challenge for Texas going forward is we don’t start building more homes and putting more subdivisions on the ground, the prices of housing will get so expensive that employers will no longer be able to attract workers.” 

-          Dallas Morning News, January 18, 2014

DFW Home Prices Escalating Rapidly

DFW area home prices are nearing ten percent over their peak in 2006, and continue to rapidly increase.  Ten years ago, nationwide pre-owned home prices were 30 percent higher than in the DFW area.  Now, national median home prices are less than 15 percent ahead of those in the DFW area, according to the National Association of Realtors.   And that margin continues to decrease monthly.   “When our housing isn’t cheap anymore, employers won’t be able to attract workers as easily,” notes Mark Dotzour, chief economist with the Real Estate Center at Texas A&M.  “It’s an absolute disaster for economic development and the future of North Texas.”

-          Dallas Morning News, January 18, 2014