May Newsletter
May Newsletter
We hope that everyone had an enjoyable Memorial Day Weekend and we hope you took a moment to think of those who made the ultimate sacrifice as well as thank those you have served or are currently serving our country. As it is beginning to get hot here in North Texas (triple digit temperatures are predicted for this weekend) this is the time of year that the market begins to heat up. Markets are just like the water in the beautiful Lake Ray Roberts (shown above) which fluctuates. Although the US Army Corp of Engineers works hard to maintain a consistent lake level, they cannot control the forces of nature like flooding or drought which have impacted this lake throughout the years. In the picture, you can see the evidence of times of higher water along the shores. When looking at real estate markets it is good to look at recent history as well as more distant. We might begin to see evidence of "higher shorelines" or times when prices were rising at a higher pace. Although the median sales price trends are still up year over year, there are some signs of cooling in the North Texas markets.
Let's face it, the North Texas markets have shown record growth within the past five years. With the huge population growth and low inventories, sellers have been able to get higher and higher prices within this market. The double-digit price appreciation we have been seeing is not sustainable and it appears there a few signs that more balance within the market may be occurring.
There are many things that impact real estate values. Read this analogy of the multi-layer real estate cake here. Here are some current layers playing a role in real estate values:
We are still seeing price appreciate in our markets but the pace has slowed. We will continue to watch the markets for you and provide an update next month. Currently, there are just slight signs of cooling. Here is a look at the numbers in Denton, Collin, Dallas, and Tarrant counties:
The median sales price trends are still increasing year over year for all counties with the exception of Collin County. All but Tarrant County have decreased since last month which did not occur last year between March and April. Here are the YoY numbers:
Denton County
$313,000 | +6.0%
$313,000 | +6.0%
Collin County
$327,401 | -1.1%
$327,401 | -1.1%
Dallas County
$244,000 | +3.8%
$244,000 | +3.8%
Tarrant County
$235,000 | +7.3%
$235,000 | +7.3%
The median price per square feet has increased slightly from the previous month and from the same time last year.
APRIL 2018
Denton County
$138 | +6.2%
$138 | +6.2%
Collin County
$138 | +3.0%
$138 | +3.0%
Dallas County
$133 | +7.3%
$133 | +7.3%
Tarrant County
$119 | +8.2%
$119 | +8.2%
When looking at the volume or number of sales within the market we see that Denton and Dallas counties are both down, Tarrant county is flat and the only increase is in Collin County.
APRIL 2018
Denton County
1,256 | -0.2%
1,256 | -0.2%
Collin County
1,416 | +5.8%
1,416 | +5.8%
Dallas County
2,171 | -0.5%
2,171 | -0.5%
Tarrant County
2,303 | 0.0%
2,303 | 0.0%
Inventory has begun to increase in Denton and Collin counties, inventory is flat in Dallas and Tarrant counties. Inventories are still less than three months which is low but with this increase occurring during the busy spring season is a sign of slight cooling of the market.
APRIL 2018
Denton County
2.4 | +9.1%
2.4 | +9.1%
Collin County
2.6 | +18.2%
2.6 | +18.2%
Dallas County
2.2 | 0.0%
2.2 | 0.0%
Tarrant County
1.8 | 0.0%
1.8 | 0.0%
Featured Service- Manufactured Homes
This month our featured service is manufactured home appraisals. The DW Slater Company provides appraisal service for manufactured home appraisals. In some of our more rural market areas these can be more complex. There are some additional considerations that have to be made when appraising manufactured homes. You can read this blog we wrote about how to handle an addition to a manufactured home.
Great Cycle Challenge USA
This is our third year to participate in the Great Cycle Challenge in the month of June. We raise funds for Children's Cancer Research. This year we are riding in memory of the daughter of one of our friends who was diagnosed with brain and spine cancer at the age of 10, Kami. Last week as part of tribute day, Kami's picture was on display in Times Square. We appreciate those who have supported this cause. We ride a tandem cycle which is fun and share post and pictures from our rides. Please consider sponsoring our ride and helping us fight this awful disease.
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