Is Dallas Fort Worth the Top Buyer’s Market? – An Insight into Current Record High Home Sales and Values

Is Dallas Fort Worth Top Buyer's Market?

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Dallas Fort Worth (DFW) is one of the fastest-growing areas in the US. Recent Studies suggest that the DFW will take up the 5th position as the most progressive metroplex in the country, with a population growth rate of 8.64 percent. 

So, if you’re planning to buy a new residential, commercial, or land property, you must be wondering whether now is the right time to make the move. 

At TheKhanGroup, we firmly believe in the power of statistics and utilize a data-driven approach in all our real estate procedures. That’s exactly why we have compiled all the current home sales and values in today’s blog. 

You’ll find the initial DFW housing predictions made for 2023, the current situation of the market, and what we expect in the coming months. Let’s get started!

Dallas Fort Worth Housing Prediction for 2023

At the start of this year, the Knock’s Buyer-Seller Market index released the list of the top 10 US housing markets for 2023. The ranking was largely based on the largest expected inventory gains.

And guess where did DFW land on the list? On the 2nd Position!

Not only that but Knock’s also forecasted the rise of DFW to the “nation’s top buyers’ market” by the end of 2023. So, the initial Dallas Fort Worth housing prediction is very positive and promising.

However, it should be noted that the forecast predicts the peak of DFW house inventory in October – which is a little behind other markets on the list. This means investors and buyers with urgent real estate requirements might not find the best deal until later this year. 

Another point worth noting is the house inventory and values. 

Previously, we have seen record-high house prices (due to low housing inventories). This might lead to the assumption that with more houses, the price will drop. But, while the DFW market is predicted to see a surge in new homes, the property value will not fall.

The 2023 DFW forecast predicts that home values will remain stable. It might grow slightly in the coming months, but there will be no significant drops for investors to benefit from.

Still, to give buyers and sellers an idea, the Knock reported a peak of $366,000 in June. This price may drop to $351,000 by December (following the declining trend of house values since 2022). 

How is the Current Housing Market in Fort Worth?

The Knock’s DFW housing market report was released in February 2023. But it’s August now, and a lot of things have changed. Let’s have a look at the current market trends in Dallas-Fort Worth and how true the forecasts have been so far. 

Throughout the year, DFW saw a gradual increase in house inventory and sales. However, in July, the market peaked in certain areas.

The number of new home permits issued went up by:

  • 36% in Celina
  • 31% in Princeton
  • 47% in Sherman

To be more specific, 1446 permits have been issued in Celina and 914 single-family house permits have been issued in Princeton – both of which are located in Collin County. The growth in Sherman City of Grayson County is somewhat similar to Princeton. 

Single-family house permits have been issued in abundance, with a total count of 484 till July. This increasing demand for single-family residential properties is primarily due to the ongoing projects of GlobiTech Inc. and Texas Instruments.

Both companies are building manufacturing plants that will provide an expected 4,500 new job opportunities in the coming years. 

However, while Celina, Princeton, and Sherman saw an all-time-high increase in house inventory, other DFW areas did not do well.

DFW AreasHome Permits Fell By (%)No. of Permits Issued
Frisco32%636
Prosper23%495
Little Elm 49%403
Denton 19%625

Despite the decline in these sub-markets, the overall DFW housing market has performed really well till July. The house sales and values have remained close to the all-time peak. 

The average residential property prices have increased from $492,762 in May to $499,115 in July. Meanwhile, the new house sales were 2372 (159 less than sales in June). 

AUGUST 2023 UPDATE:

The Builder Confidence has gone down this month. This is primarily due to high mortgage rates, scarcity of construction workers, and high material costs. So, unlike what Knock predicted for DFW, the new house inventory has declined. 

Fewer new homes are popping into the market, and the currently-listed ones are getting sold out fast. There are new emerging sub-markets that are receiving multiple offers, and the average residential property is getting sold for more than the asking price. These include:

  • Lantana (1.4% up)
  • Murphy (1% up)
  • Seogoville (1% up)

So far, Euless has the tightest inventory in the DFW – with only 1 month’s worth of inventory left in August. If no new houses show up on the market, all listed houses will be rented or sold. This situation is highly in favor of Euless property sellers.

The demand is high, but the inventory is low. So, the average property is being sold for 3.6% above the average sales price. 

On the broader outlook, the DFW housing market is somewhat stalling – with the Builder Confidence down, lower inventory, and lower sales than the previous months. However, the demand is still surprisingly high, and the house values are going up. 

There are fewer new listings every week, and the majority of them are getting immediately sold within a week. 

So, Should You Invest in DFW?

If you study the previous DFW housing market patterns, the new house inventory usually falls down near or mid-September. There was a burst of new inventory in 2022 – but considering the current situation, it’s unlikely that we’ll see increasing house inventory or falling values.

We have already witnessed the market peak in July. From now onwards, it’ll get harder to snag new residential properties at lower prices in DFW. The market will continue to see fewer and fewer new listings every week, with an increase in average pricing. 

Even if we see a hike in October (as predicted by Knock’s report), there will be no decline in property value. So, if you’re thinking of relocating to DFW or want to invest in this hot market, you should do it as soon as possible. Waiting would only result in regrets. 

Book Our Free DFW Real Estate Consultation!

At TheKhanGroup, our team of experienced realtors always keeps a lookout for the latest residential, commercial, and land properties in the DFW area. The updated database helps us find property deals that are perfectly tailored to our client’s needs.

We can assist you in choosing the best new home investment property in DFW. If you plan to sell your DFW property, we can help you get the most return from it using our massive network and industry insights.

Sign up for our free real estate consultation today!

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