North Texas real estate agents sold a record number of houses in June.
Last month 11,638 pre-owned properties changed hands in the area – up 13 percent from a year ago and the largest number ever in a single month.
Area prices also hit a high point in June. The median sales price for a single-family home was $256,000 – 8 percent ahead of where it was in June 2016, according to data from the Real Estate Center at Texas A&M University and the North Texas Real Estate Information System.
Through the first six months of 2017, real estate agents have sold 51,627 houses through their multiple listing service – 5 percent more than in the first half of 2016.
“I think Dallas will set another record for all of 2017,” said Dr. James Gaines, chief economist with the Real Estate Center. “The market is still very strong and it isn’t backing off much if anything.”
Gaines said worries about rising mortgage costs may be putting pressure on the summer homebuying market.
“It could be the talk of interest rates increasing by the Fed is spurring people to come into the market and brining demand forward,” he said. “If you believe the cost of financing is going up, it spurs you to action.
“In the long run increasing interest rates will cause demand to go down a little bit.”
There are signs that the huge undersupply of homes for sale in the Dallas-Fort Worth area is easing.
At the end of June there were 11 percent more houses listed for sale with agents in North Texas than a year earlier. Almost 22,000 houses were on the market.
But that still only amounts to a 2.6-month supply of preowned homes available for purchase.
And almost 13,000 of the houses listed for sale are priced over $300,000.
Sales of homes priced at $1 million or more have had the biggest increase this year. So far in 2017 874 million-dollar properties have traded – 37 percent more than in the first half of 2016.
Sales of North Texas houses priced at less than $180,000 are down because of a shortage of low and moderate priced properties.
The average time it takes to sell a house dropped to just 36 days in June, down 5 percent from a year earlier, according to the data from real estate agents.
North Texas in the last few years has seen some of the fastest rising home prices in the country.
Median sales prices in the first half of 2017 were up 11 percent from the sale period last year.
And in the last five years prices have jumped 55 percent, according to the latest sales data.
The biggest price increase have come and the low and moderate sections of the market.
Appreciation of high-end homes has begun to slow this spring and summer, agents say.
“The over $750,000 market for sure is most definitely flatting out,” Gaines said. “There is a whole lot more inventory in the upper price ranges.
“If you are looking at a house less than $250,000 there is a real shortage.”
The booming economy in North Texas should keep the local home market hot through the rest of 2017, Gains said.
“Dallas-Fort Worth and really all of Texas has been a bellwether market around the country,” he said. “Until the economy slows down considerably the housing market will stay strong.”