I was a bit surprised to see June sales for the Dallas area post a 3% decline vs June year ago. June, as you know, marked the last month homes could close and still be eligible for the tax credit given for contracts written earlier in the spring. (The June 30 deadline was extended through the summer, but that decision was made at the end of June). Many believed that there would be a crush of sales towards the end of June, but while June was reasonably busy, it appears most buyers and sellers taking advantage of the credit closed in May or earlier. May sales had been up 18% over May, 2009. Historically, June represents the peak of Dallas’ home sales, with sales gradually tapering off until bottoming out in January.
There was no discernable pattern supporting the aggregate sales number above, as several submarkets’ sales were up significantly (North Dallas +46%, Park Cities +56%, and Northwest Dallas +23%) and a few down significantly (Richardson -28%, Allen -20%). Median sales prices were up as much as 23% in Southlake and down as much as 22% in Coppell. For the first half of the year, all the submarkets are still outperforming 2009 in sales (+9% Dallas overall) and median sales price(+2%).
Mortgage interest rates are at record lows, with 30-year fixed conventional loans around 4.3% and 15-year fixed jumbo loans at 4.5%. This is quite remarkable, and the fact that more are not taking advantage speaks to the pessimism some people have about the ability to sell the home they currently occupy, whether here in Dallas or elsewhere while considering relocation. But Dallas’ short term and long term outlook is very favorable for the housing business. In a Wall Street Journal story dated July 9th and captioned, “Housing Bulls Should Try Texas”, Texas’ supply of new homes is in rough balance with demand, there is a lower-than-average foreclosure rate, and Texas’ unemployment rate at 8.3% is below the national average. A report in The Dallas Morning News on July 8th stated that Dallas now leads the country among cities where people are moving, according to Movers.com. Houston and Phoenix are next in line. The Texas economy is the fastest growing economy in the nation, and the DFW area leads the country in population growth. Click here to see a quick slide show of our economic indicators from the Dallas Federal Reserve Bank.
Most interesting is the story published in the July 16th issue of the Dallas Business Journal, which reported that at least four companies within the past month have announced intentions to move their headquarters to the DFW area, and the Dallas Chamber of Commerce has 12 headquarters projects on its list of companies seriously considering the area. Six of this dozen are California-based and three from the Upper Midwest. According to the assistant director of the Dallas Office of Economic Development, “It’s definitely a wave. Looking at Dallas and DFW as a whole, I’ve seen more activity over the last six months than I’ve seen in years”. The Greater Irving-Las Colinas Chamber is working on 72 potential relocation projects of all types and sizes, with 40% of those from out of state.
Growth translates into new jobs and new jobs spur demand for homes. With record low mortgage rates, it’s a great time to be a home buyer.
Here are the details for single family homes and condo/townhome sales in selected areas. For a more comprehensive look at any one market, give me a call at my Allie Beth Allman office or on my cell, 214-563-8540. Scroll down for the “Sales by Price Category” info. DOM is short for Days on Market. Median Price pertains to sales occurring in the period(s).
Overall Market (North Texas):
Jun 10 vs 09: Sales down 3%, med price unchanged, DOM 73, down 6%.
YTD 10 vs 09: Sales up 9%, med price up 2%, DOM 76, down 8%.
Uptown, Downtown and Turtle Creek (Condos and Townhomes):
Jun 10 vs 09: Sales up 5%, med price up 5%, DOM 110, up 17%.
YTD 10 vs 09: Sales up 18%, med price up 5%, DOM 104, up 2%.
Highland Park and University Park, Bluffview, Devonshire and Greenway Parks:
Jun 10 vs 09: Sales up 56%, med price down 9%, DOM 122, up 49%.
YTD 10 vs 09: Sales up 66%, med price down 3%, DOM 114, up 12%.
East Dallas (incl M’s and Lakewood):
Jun 10 vs 09: Sales unchanged, med price down 2%, DOM 67, down 4%.
YTD 10 vs 09: Sales up 5%, med price up 1%, DOM 67, down 11%.
North Dallas (South of LBJ):
Jun 10 vs 09: Sales up 46%, med price down 5%, DOM 117, up 3%.
YTD 10 vs 09: Sales up 44%, med price unchanged, DOM 119, up 10%.
Far North Dallas (incl Addison and to Park Blvd in Plano):
Jun 10 vs 09: Sales down 12%, med price up 11%, DOM 69, up 3%.
YTD 10 vs 09: Sales up 2%, med price up 3%, DOM 75, unchanged.
Jun 10 vs 09: Sales up 23%, med price down 15%, DOM 67, down 18%.
YTD 10 vs 09: Sales up 25%, med price down 7%, DOM 67, down 23%.
Northeast Dallas (incl Lake Highlands):
Jun 10 vs 09: Sales down 4%, med price up 4%, DOM 58, down 5%.
YTD 10 vs 09: Sales up 10%, med price up 3%, DOM 60, down 5%.
Jun 10 vs 09: Sales down 5%, med price up 11%, DOM 67, up 10%.
YTD 10 vs 09: Sales up 2%, med price up 1%, DOM 63, down 3%.
Jun 10 vs 09: Sales down 6%, med price up 10%, DOM 70, down 8%.
YTD 10 vs 09: Sales up 6%, med price up 2%, DOM 67, down 19%.
Jun 10 vs 09: Sales down 28%, med price up 5%, DOM 58, up 2%.
YTD 10 vs 09: Sales unchanged%, med price up 3%, DOM 50, down 22%.
Jun 10 vs 09: Sales up 13%, med price up 23%, DOM 84, up 4%.
YTD 10 vs 09: Sales up 20%, med price up 3%, DOM 101, up 5%.
Jun 10 vs 09: Sales up 10%, med price down 22%, DOM 47, up 7%.
YTD 10 vs 09: Sales up 6%, med price up 5%, DOM 51, up 4%.
Jun 10 vs 09: Sales down 20%, med price up 3%, DOM 55, down 4%.
YTD 10 vs 09: Sales up 16%, med price up 3%, DOM 65, down 17%.
Rockwall (incl Heath):
Jun 10 vs 09: Sales up 6%, med price up 13%, DOM 86, down 8%.
YTD 10 vs 09: Sales up 9%, med price up 6%, DOM 82, down 9%.
Here is a look at Single Family home sales by price category for YTD 2010 vs 2009:
$200-299K (16.7% of sales): up 14%, 7 months inventory
$300-399K (6.7% of sales): up 12%, 11 months inventory
$400-499K (2.8% of sales): up 8%, 13 months inventory
$500-599K (1.3% of sales): up 11%, 15 months inventory
$600-699K (0.9% of sales): up 31%, 17 months inventory
$700-799K (0.5% of sales): up 30%, 20 months inventory
$800-899K (0.4% of sales): up 70%, 16 months inventory
$900-999K (0.2% of sales): down 13%, 31 months inventory
$1MM and up (0.9% of sales): up 34%, 25 months inventory
Here is a look at Condos and Townhomes sales by price category for YTD 2010 vs 2009.
$200-299K (14.5% of sales): 300 units vs 285 units year ago, 13 months inventory
$300-399K (5.4% of sales): 111 units vs 103 units year ago, 20 months
$400-499K (2.2% of sales): 46 units vs 42 units year ago, 22 months
$500-599K (1.2% of sales): 25 units vs 16 units year ago, 25 months
$600-699K (0.6% of sales): 12 units vs 8 units year ago, 24 months
$700-799K (0.2% of sales): 5 units vs 3 units year ago, 53 months
$800-899K (0.2% of sales): 4 units vs 6 units year ago, 40 months
$900-999K (0.1% of sales): 2 units vs 2 units year ago, 51 months
$1MM + (0.8% of sales): 16 units vs 5 units year ago, 23 months
Bob and Knoxie Edmonson
Allie Beth Allman & Assoc.
Dallas TX Homefinder Website Dallas TX Home Values Blog — Dallas TX Homes for Sale, Condos and Real Estate Highland Park Real Estate, University Park Real Estate, Uptown Dallas Real Estate, M-Streets Real Estate