Dallas Home from Southern Living Magazine |
While Texas overall seemed to have gone through this current housing crisis unscathed, there are indications that all might not seem as nice and tidy as one might believe, and there are worries that the housing industry could remain flat and, depending on which way things go, will either gradually improve or be on the cusp of trouble.
North Texas in particular is under the microscope. Home sales fell 17% from August, which makes 3 months in a row that housing sales have fallen. Although things were going well in the first quarter of the year, analysts now believe those figures were because of the federal tax credit more than anything else. Lately, what’s being noticed is that the most expensive properties are selling well, bucking a national trend in states that have had major housing issues, and those sales have skewed the overall numbers as the decline in sales of mid-priced to lower priced homes have fallen.
Home sales of higher priced homes are also edging up overall home prices, yet again analysts believes that’s skewing the figures for more affordable homes, which have shown a small decline.
The major worry is that unemployment in the Dallas area is around 8.5%, lower than the national average but still pretty high, and the state has shed more jobs than it’s created in 2010. That has led to their being more pre-owned single family homes in the area than last year, a 15% increase, and without the tax credit there’s worry that even more existing homes might be difficult to sell. And the statistics are showing why they’re worried, as home sales declined 49% in Cedar Hill, 44% in DeSoto and 37% in Garland.
If there’s good news, it’s that there are plenty of affordable homes all around North Texas and great deals for the right buyer. And for the upper scale buyer and seller, the market is as robust as ever.
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Mitch writes on real estate, finance, and many other things.