The Dallas Spring Market is soon to be in the books, and again in May the strong sales trend continued. May home sales were up 15% over year ago, and median prices of the 10,939 homes sold up 10% vs last year. Sales are healthy in all price points from the $200’s to the low $1M’s. What softness we have is in the under $200’s (little inventory to sell) and over $1.5M (enough inventory but fewer buyers). Year-to-date, home sales are up 5% over 2016, with median sales prices up 12%.
Of the submarkets I track, the best performers YTD include greater Park Cities (+22%), North Oak Cliff (+21%), Preston Hollow (+15%) and Plano (+11%). Only the greater Park Cities area is seeing a lower median sales price (of homes sold) this year compared to last year, down 2%.
We are starting to see an upward trend in the days on market, although not everywhere. The more expensive markets logically have a higher average number of days on market, including Park Cities, Southlake and Preston Hollow, but we are seeing increases in 10 of the 16 markets I track. While demand is strong, and job creation is strong, there is a sense that affordability is becoming an issue. Home prices here are up 50% over five years ago, and while not highest rate in the country, our salaries aren’t the highest either.
The good news is that demand for homes, with the influx of new Dallasites, is not expected to abate anytime soon. The Dallas-Irving-Plano area topped the Forbes list of best cities for jobs. Dallas added the most jobs of the nation’s 12 biggest metro areas over the year ending in April, per the US Bureau of Labor.
Keep an eye on interest rates. The Federal Reserve announced its third rate hike in six months. At some point, this action is expected to influence mortgage rates. But so far this year, we are experiencing very stable mortgage rates, which helps in this environment of rising prices.
Here is a look at home sales by submarket that I track. DOM is “Days on Market”.
Overall Market (North Texas):
May 17 vs 16: Sales up 15%, med price up 10%, DOM 37, down 3%.
YTD 17 vs 16: Sales up 5%, med price up 12%, DOM 43, down 5%.
Uptown, Downtown and Turtle Creek (Condos and Townhomes):
May 17 vs 16: Sales up 13%, med price up 23%, DOM 59, up 111%.
YTD 17 vs 16: Sales down 10%, med price up 18%, DOM 47, up 24%.
Highland Park and University Park, Bluffview, Devonshire and Greenway Parks:
May 17 vs 16: Sales up 11%, med price down 11%, DOM 77, up 33%.
YTD 17 vs 16: Sales up 22%, med price down 2%, DOM 70, up 17%.
East Dallas (incl M’s and Lakewood):
May 17 vs 16: Sales up 12%, med price up 8%, DOM 30, unchanged.
YTD 17 vs 16: Sales down 7%, med price up 9%, DOM 35, down 3%.
North Dallas (South of LBJ):
May 17 vs 16: Sales up 38%, med price up 14%, DOM 54, up 20%.
YTD 17 vs 16: Sales up 15%, med price up 9%, DOM 60, up 20%.
Far North Dallas (incl Addison and to Park Blvd in Plano):
May 17 vs 16: Sales down 5%, med price up 13%, DOM 37, up 42%.
YTD 17 vs 16: Sales up 4%, med price up 5%, DOM 42, up 17%.
Northwest Dallas:
May 17 vs 16: Sales up 24%, med price up 28%, DOM 34, up 42%.
YTD 17 vs 16: Sales up 6%, med price up 16%, DOM 37, up 3%.
Northeast Dallas (incl Lake Highlands):
May 17 vs 16: Sales down 11%, med price down 3%, DOM 24, down 29%.
YTD 17 vs 16: Sales down 11%, med price up 7%, DOM 30, down 23%.
Plano:
May 17 vs 16: Sales up 23%, med price up 15%, DOM 24, unchanged.
YTD 17 vs 16: Sales up 11%, med price up 13%, DOM 34, up 6%.
Frisco:
May 17 vs 16: Sales up 21%, med price up 1%, DOM 43, up 19%.
YTD 17 vs 16: Sales up 6%, med price up 3%, DOM 44, up 2%.
Richardson:
May 17 vs 16: Sales up 3%, med price up 4%, DOM 15, down 17%.
YTD 17 vs 16: Sales down 1%, med price up 15%, DOM 21, down 16%.
Southlake:
May 17 vs 16: Sales up 44%, med price up 3%, DOM 49, down 23%.
YTD 17 vs 16: Sales up 9%, med price up 7%, DOM 62, up 3%.
Coppell:
May 17 vs 16: Sales up 4%, med price up 9%, DOM 36, down 10%.
YTD 17 vs 16: Sales up 3%, med price up 3%, DOM 47, up 2%.
Allen:
May 17 vs 16: Sales down 8%, med price up 11%, DOM 25, up 14%.
YTD 17 vs 16: Sales down 4%, med price up 10%, DOM 34, up 3%.
Rockwall (incl Heath):
May 17 vs 16: Sales up 18%, med price up 5%, DOM 77, up 33%.
YTD 17 vs 16: Sales up 8%, med price up 10%, DOM 46, down 2%.
Cedar Hill:
May 17 vs 16: Sales unchanged, med price up 36%, DOM 28, down 51%.
YTD 17 vs 16: Sales down 19%, med price up 22%, DOM 36, down 16%.
North Oak Cliff (incl Kessler Park, Stevens Park, Winnetka Heights):
May 17 vs 16: Sales up 46%, med price up 4%, DOM 36, unchanged.
YTD 17 vs 16: Sales up 21%, med price up 1%, DOM 41, down 2%.
For Las Colinas: 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 2017 vs 2016:
$200-299K (29.7% of sales): up 16%, 1.6 months inventory
$300-399K (17.0% of sales): up 27%, 2.7 months inventory
$400-499K (7.9% of sales): up 20%, 4.2 months inventory
$500-599K (3.9% of sales): up 29%, 5.1 months inventory
$600-699K (2.0% of sales): up 26%, 6.1 months inventory
$700-799K (1.2% of sales): up 35%, 6.4 months inventory
$800-899K (0.8% of sales): up 42%, 6.4 months inventory
$900-999K (0.4% of sales): up 11%, 10.8 months inventory
$1MM and up (1.6% of sales): up 37%, 11.3 months inventory
Here is a look at Condos and Townhomes sales by price category for YTD 2017 vs 2016.
$200-299K (24.8% of sales): 671 units vs 595 units year ago, 1.8 months inventory
$300-399K (16.5% of sales): 446 units vs 338 units year ago, 3.4 months inventory
$400-499K (8.0% of sales): 218 units vs 138 units year ago, 4.5 months inventory
$500-599K (2.3% of sales): 62 units vs 67 units year ago, 5.9 months inventory
$600-699K (1.4% of sales): 39 units vs 39 units year ago, 7.3 months inventory
$700-799K (0.6% of sales): 15 units vs 15 units year ago, 8.7 months inventory
$800-899K (0.4% of sales): 7 units vs 12 units year ago, 17.1 months inventory
$900-999K (0.5% of sales): 13 units vs 13 units year ago, 6.5 months inventory
$1MM + (1.4% of sales):38 units vs 21 units year ago, 14.3 months inventory
Bob Edmonson, Allie Beth Allman & Associates, 214-563-8540