DALLAS — This article was originally published by our content partners at the Dallas Business Journal. You can read the original article here.
A ZIP code in northwest Dallas that includes Old Preston Hollow — an enclave of grand, primarily older estate properties — ranks as the hottest luxury housing market in the Metroplex.
That’s according to a new analysis of residential real estate momentum by Dallas Business Journal, in coordination with the wider Business Journals network. The ranking was based on third-quarter listing and sales data from Intercontinental Exchange Inc.
Today, we’re focusing solely on areas in DFW where homes sold for an average of $1 million or more in the third quarter. Previously, we spotlighted the 25 hottest housing markets in North Texas overall.
Topping the list was the 75220 ZIP code, generally north of Dallas Love Field and Bachman Lake, south of Walnut Hill Lane and west of the Dallas North Tollway. It includes most of Old Preston Hollow, a neighborhood of lush foliage and acre-plus estates with mansions designed by nationally recognized architects. Old Preston Hollow is bounded by Walnut Hill Lane, Preston Road, Northwest Highway and Midway Road.
Homes in 75220 sold for an average price of $1,283,284 in the third quarter, which was less than $22,000 off their average list price of $1,305,009 — meaning most sellers are getting close to their asking price. The 50 homes that sold in the neighborhood during the July 1 through Sept. 30 period spent an average of 103 days on the market, according to the Business Journals’ hottest housing markets ranking.
The ranking emphasizes sales and pricing momentum in each ZIP code, using a weighted formula that includes quarterly and year-over-year data. It spotlights ZIPs where activity is surging, prices are dramatically rising or homes are selling at a fast pace. You can read more about the methodology at the bottom of this post.
The 2nd hottest market is ...
In the million-and-up category in DFW, the second hottest ZIP code in Q3 was 75205, which is the primary ZIP for both Highland Park and University Park. Homes there sold for an average of $2,603,379. The homes had an average list price of $3,023,479, meaning buyers got some bargains with an average of about $420,000 off the list price.
Homes in 75205 spent an average of 75 days on the market in the third quarter and 55 homes sold in the July 1 through Sept. Sept. 30 period.
The bronze medal goes to ...
The third-hottest luxury home neighborhood in DFW was 75230 in North Dallas. This is the primary ZIP for newer parts of Preston Hollow as well as the luxury neighborhoods south of Interstate 635, north of Walnut Hill Road and between the Dallas North Tollway and U.S. 75.
The 92 homes that sold there in Q3 went for an average of $1,376,237, compared with an average asking price of $1,452,967, and they spent an average of 75 days on the market before going under contract.
It’s worth noting that sales prices in high-end neighborhoods such as Highland Park, University Park and Preston Hollow likely skew higher than the rankings reflect. The analysis used multiple listing services data, but many homes in upper-crust neighborhoods are sold off-market through "pocket listings" and never hit the MLS.
It's also worth noting that homes in luxury neighborhoods throughout DFW are selling for less than their list price — in some cases dramatically less. That wasn't the case during and immediately after the Covid pandemic when a shortage of homes on the market forced buyers to offer tens or hundreds of thousands of dollars above the asking price to grab the attention of sellers.
4th through 11th place ...
The Business Journals ranking revealed a total of 11 ZIP codes in the DFW Metroplex in which MLS average sales prices topped $1 million in the third quarter. The ZIP codes that follow the top three are located in Southlake, Flower Mound and Colleyville, as well as pockets of Dallas. Here’s a look at the next eight hottest markets, along with the average sales price, average list price and average days on market for homes sold in each ZIP in Q3:
4. Southlake’s 76092: $1,594,398 sale price; $1,740, 758 list price; 71 DOM
5. Flower Mound’s 75022: $1,040,955; $1,074,836; 71 days
6. Northwest Dallas’ 75209, the main ZIP code for the Bluffview neighborhood: $1,206,403; $1,446,797; 71 days
7. Colleyville’s 76034: $1,045,168; $1,166,602; 64 days
8. Northwest Dallas’ 75229, another ZIP in Preston Hollow: $1,067,252; $1,135,527; 75 days
9. Central Dallas’ 75201, including the Arts District and areas downtown: $1,350,554; $1,840,694; 118 days
10. East Dallas’ 75214, including the Lakewood neighborhood and others west of White Rock Lake: $1,013,663, $1,097,298; 66 days
11. Dallas’ 75225, including much of University Park and parts of Preston Hollow $1,734,567; $2,308,749; 71 days.
America's hottest housing markets
Home sales have flatlined nationally in recent months as high mortgage rates, combined with continued home-price appreciation, have sidelined many potential buyers and discouraged would-be sellers.
Despite those transactional challenges, plenty of areas are still seeing stiff competition.
Nationwide, among the Business Journals’ top 10 ZIP codes, the average home sold for $1.2 million after spending 98 days on the market.
In those 10 ZIP codes, home prices on average more than doubled from 2019 to 2024, surging 154%.
