October continued the trend of rising home prices throughout the Dallas-Fort Worth area, complete with a massive increase over the statistics from just a year ago. Affordability showed a dip of 2.2% down to a 167 on the affordability index. Despite the change, a 1.0% increase in sales from last October bucks the pattern of slumping sales figures that had been prevalent throughout the year in North Texas. This can be attributed, at least in part, to the huge bump in pending sales that carried over from September.
“The sales increase is a great sign for the recovering Dallas-Fort Worth market,” according to Keith Dunham, C.E.O. of HomeCity Real Estate, “and this is just what we had hoped for with the large amount of pending sales towards the end of last month.” With 7,635 closed sales for the month, this was the best October the market has seen in years. While the increase was mild, it remains significant when compared to the slumping monthly sales figures in recent months. A 3.9% increase in pending sales over October of 2013 should continue to boost sales numbers as the year winds to a close. However, the limiting factor for the burgeoning market remains inventory, which hasn’t shown any immediate signs of improvement thus far. While sales for the year-to-date are nearly identical to 2013 numbers, the lack of available homes is hampering the growth of a market rich in new jobs and interested buyers.
Time on the market for homes saw a large jump in October to 63 days, which is a 16.6% increase from a year ago. The boosted median sales price in the area, which was 6.4% higher than last year at $183,000, was likely a factor in the escalated figure. Despite the increase in recent months, the year-to-date numbers still show a 3 day improvement over the averages of 2013 with just 54 days spent on the market. With inventory remaining low, this is a true indicator of the eagerness of buyers throughout the region.
As previously mentioned, inventory numbers for the county continue to lag behind the demand of the market. A 16.2% drop from the previous year shows a continually decreasing number of available homes. As the jobs market continues to grow as quickly as anywhere else in the country, realtors are in desperate need of inventory to satisfy the market demand. The 3.2 month supply of homes available is a 17.3% drop from the previous year, and it continues the downward trend.
October reported a 95.3% statistic of asking price received, which is identical to the numbers from a year ago. “With the market primed for further improvement, indicators look great when an increase of inventory finally occurs,” says Dunham. With pending sales numbers remaining high for the month, this year should be heading toward a promising conclusion. The improvement of the market continues to hinge on increasing the inventory to match demand, but the short-term forecast looks positive for the area.
October 2014 Dallas Housing Market Statistics Compare to 2013:
- 7,635 single-family homes sold, up 1.0%
- $183,000 was the median price for single-family homes, up 6.4%
- 63 was the average number of days homes spent on the market, up 16.6%
- 3.2 months inventory, 0.6 months less than 2013