It’s officially fall, but mortgage rates aren’t cooperating. The volume of Total Active homes for sale is expected to decline from September through January. However, some cities saw an increase. Most of those markets had a corresponding high Inventory Months. Only Denton didn’t slide into a resulting Buyer’s Market.
A third of the reported cities are in Buyer Market territory with more than six months of inventory. All three reported counties have inventory near five months.
Dallas County increased its Median Listing Price, while all three counties decreased Median Sold Prices. Prosper had the lowest Median Percentage of Original Price at 91.8%, followed closely by Celina at 92.9%, indicating a price correction area. Plano, which has very few new construction options, came closest to the original price at 96.3%.
Of the reported cities, only Plano remains a Seller’s Market with less than four months of inventory. Plano has the lowest reported median days on market at 29 days, while Prosper has the highest at 79 days. Van Alstyne has the highest year-over-year (YOY) inventory increase at 92.3%. Aubrey has the lowest at -19.4% from last year.
McKinney has the most Active homes at 1,171, followed closely by Celina at 1,100. Melissa has the fewest at 189. Prosper continues to have the top Median List and Sold prices, as well as the highest Median Price Per Square Foot (PSF) at $233 PSF. Anna is the most affordable reported area this month, with listings at $150 Median PSF.
All three reported counties' median price PSF this month have dropped to or below $195. Dallas County has the most Active properties at 7,935. Dallas County also has the highest median closed percentage of the original listed price at 95.6%.
Internationally, global bond markets are fighting to attract capital and raising rates to do it. While the data indicates a better-than-expected economy, the Fed has no pressure to reduce rates. Nonetheless, consumer confidence is aggravated by the war with Iran, a spike in fuel prices, and overall inflation.
Nationally, mortgage rates increased significantly this week. The 10-year Treasury yield has reached its highest level since July of 2002. They expect another rate hike before the end of this year (which should motivate buyers to get in before it costs more).
Overall, North Texas faces cooling sales, flattened prices, and predominantly a buyer's market. Locally, Buyers' choices are likely to decrease as Sellers remove their listings going into the holidays.
I've Got Your Six!
Mark M. Hancock, GRI, MRP, AHWD
REALTOR, New Build certified
214-862-7212 (call or text)
DFWmark@kw.com
DFWmark.com
