DFW ranks #1 in the U.S. for overall real estate prospects, according to the 2016 Emerging Trends in Real Estate, compiled annually by the Urban Land Institute. The survey of 500+ real estate execs and 125 industry leaders ranks DFW as the #1 homebuilding market, #2 for investment and #3 for development. Mentioned was the affordable cost of doing business and cost of living with solid growth. Dallas also ranks high (3rd in the nation) for the combination of home starts and job growth, just behind Gilbert, AZ and Los Angeles, per Realtor.com.
The Dallas area sales data for May certainly supports this view. Sales were 10% higher in May vs this same month a year ago, with median sales prices still on the upswing, +8%. The days on market continue to shrink, now down to 38 days area-wide. Year to date, area sales are up 11%, but the low inventory problem which persists has produced lower YTD sales in Far North Dallas, Uptown/Oak Lawn, Richardson and Southlake.
The data does suggest, though, that the good news is not evenly distributed among the many price points. While sales of homes priced from $200K to $700K consistently show double digit gains in the 20%+ range, single family homes priced at $800K and above are eeking out 5% sales gains year-to-date and condos priced at $700K and above are even with last years numbers or trailing last year. The higher end market is leveling out a bit, as prices in these categories may have run too far ahead of the market. Things also tend to slow a bit in the hot and vacation months of the summer, so we’ll see soon if the sales pattern changes, now that we have left the Spring Market.
Here is a look at home sales by submarket that I track. DOM is “Days on Market”. For details on Las Colinas and Kessler Park, call me at my Allie Beth Allman & Associates office, 214-563-8540.
Overall Market (North Texas):
May 16 vs 15: Sales up 10%, med price up 8%, DOM 38, down 12%.
YTD 16 vs 15: Sales up 11%, med price up 8%, DOM 45, down 10%.
Uptown, Downtown and Turtle Creek (Condos and Townhomes):
May 16 vs 15: Sales down 17%, med price down 1%, DOM 30, down 32%.
YTD 16 vs 15: Sales down 13%, med price down 3%, DOM 29, down 6%.
Highland Park and University Park, Bluffview, Devonshire and Greenway Parks:
May 16 vs 15: Sales up 8%, med price up 15%, DOM 58, up 38%.
YTD 16 vs 15: Sales unchanged, med price up 3%, DOM 60, up 11%.
East Dallas (incl M’s and Lakewood):
May 16 vs 15: Sales up 7%, med price up 7%, DOM 30, up 3%.
YTD 16 vs 15: Sales up 11%, med price up 5%, DOM 36, down 3%.
North Dallas (South of LBJ):
May 16 vs 15: Sales up 22%, med price up 3%, DOM 45, down 21%.
YTD 16 vs 15: Sales up 2%, med price down 2%, DOM 50, down 14%.
Far North Dallas (incl Addison and to Park Blvd in Plano):
May 16 vs 15: Sales up 13%, med price up 5%, DOM 26, up 8%.
YTD 16 vs 15: Sales down 6%, med price up 13%, DOM 36, down 5%.
Northwest Dallas:
May 16 vs 15: Sales up 21%, med price up 10%, DOM 23, down 28%.
YTD 16 vs 15: Sales up 5%, med price up 13%, DOM 35, down 15%.
Northeast Dallas (incl Lake Highlands):
May 16 vs 15: Sales up 3%, med price up 19%, DOM 35, up 30%.
YTD 16 vs 15: Sales up 10%, med price up 10%, DOM 39, up 3%.
Plano:
May 16 vs 15: Sales down 2%, med price down 1%, DOM 24, down 4%.
YTD 16 vs 15: Sales up 2%, med price up 4%, DOM 32, unchanged.
Frisco:
May 16 vs 15: Sales unchanged, med price up 9%, DOM 33, down 11%.
YTD 16 vs 15: Sales unchanged, med price up 7%, DOM 42, up 14%.
Richardson:
May 16 vs 15: Sales up 3%, med price up 24%, DOM 18, down 31%.
YTD 16 vs 15: Sales down 4%, med price up 10%, DOM 24, down 20%.
Southlake:
May 16 vs 15: Sales down 29%, med price up 11%, DOM 48, up 7%.
YTD 16 vs 15: Sales down 2%, med price up 5%, DOM 56, down 15%.
Coppell:
May 16 vs 15: Sales up 38%, med price up 10%, DOM 27, down 18%.
YTD 16 vs 15: Sales up 12%, med price up 10%, DOM 43, down 14%.
Allen:
May 16 vs 15: Sales up 38%, med price up 2%, DOM 21, down 51%.
YTD 16 vs 15: Sales up 14%, med price up 5%, DOM 33, down 25%.
Rockwall (incl Heath):
May 16 vs 15: Sales up 4%, med price up 7%, DOM 31, down 26%.
YTD 16 vs 15: Sales up 15%, med price up 6%, DOM 47, down 13%.
Cedar Hill:
May 16 vs 15: Sales up 48%, med price up 8%, DOM 38, down 12%.
YTD 16 vs 15: Sales up 11%, med price up 8%, DOM 45, down 10%.
For Las Colinas and Kessler Park: Call Me at my Allie Beth Allman & Associates office, 214-563-8540.
Here is a look at Single Family home sales by price category for YTD 2016 vs 2015:
$200-299K (26.8% of sales): up 23%, 1.3 months inventory
$300-399K (14.0% of sales): up 29%, 2.7 months inventory
$400-499K (6.9% of sales): up 27%, 4.0 months inventory
$500-599K (3.1% of sales): up 29%, 5.3 months inventory
$600-699K (1.7% of sales): up 22%, 6.8 months inventory
$700-799K (1.0% of sales): up 21%, 9.2 months inventory
$800-899K (0.6% of sales): up 5%, 9.4 months inventory
$900-999K (0.4% of sales): up 5%, 10.9 months inventory
$1MM and up (1.3% of sales): up 5%, 14.3 months inventory
Here is a look at Condos and Townhomes sales by price category for YTD 2016 vs 2015.
$200-299K (22.8% of sales): 598 units vs 513 units year ago, 1.6 months inventory
$300-399K (13.1% of sales): 347 units vs 261 units year ago, 3.2 months inventory
$400-499K (5.2% of sales): 136 units vs 107 units year ago, 6.1 months inventory
$500-599K (2.6% of sales): 69 units vs 46 units year ago, 4.9 months inventory
$600-699K (1.5% of sales): 39 units vs 26 units year ago, 4.7 months inventory
$700-799K (0.6% of sales): 15 units vs 15 units year ago, 11.0 months inventory
$800-899K (0.5% of sales): 13 unit vs 11 units year ago, 8.8 months inventory
$900-999K (0.0% of sales): 0 units vs 0 units year ago, n/a months inventory
$1MM + (0.8% of sales): 20 units vs 31 units year ago, 22.0 months inventory
Bob Edmonson, Allie Beth Allman & Associates, 214-563-8540