Some Hard Facts, Regarding Dallas Housing Market in 2017
Pick your data point, Zillow, Realtor.com and many other real estate sources are seeing records being shattered in the DFW area. In the first month of 2016, the Dallas area ranked No. 3 nationally for home price gains, trailing only Denver and San Francisco, but easily besting Houston and New York, according to CoreLogic. By the end of 2017 Dallas was 2nd in the nation. And real estate tracking firm Zillow Group says prices in the Dallas area will continue to climb.
The national pacesetter during the period analyzed was the Texas capital of Austin, where the value of a typical home soared by 64.9 percent between Sept. 30, 2006, and Sept. 30, 2016. Denver ranked second with an increase of 45.5 percent. Rounding out the top five was a trio of Texas metropolitan areas: Houston (up 45.2 percent), Dallas (43.6 percent) and San Antonio (35.9 percent)
- “Dallas home values have gone up 16.6% over the past year and Zillow predicts they will rise 7.3% within the next year.” By comparison, they are predicting a gain of only 2.4% for the nation as a whole. So in this regard, the Dallas housing market is predicted to outpace the nation over the next year.
- On the mortgage front, analysts are forecasting a continuation of the low rates we’ve seen in recent weeks, at least in the short term. The average rate for a 30-year fixed home loan has been hovering below 3.5% for the last few weeks. The Mortgage Bankers Association (MBA) recently predicted that 30-year mortgage rates would rise gradually in the months ahead, but stay below for 4% for the rest of this year.
The general consensus appears to be that home prices in Dallas will continue to rise steadily in 2017, but at a slower pace than the last couple of years.
Housing demand is expected to remain strong due to low mortgage rates and the relatively strong job market in the Dallas-Fort Worth metro area.
Rising home prices could weaken demand, though, as affordability becomes an issue for some would-be buyers.
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