DALLAS — Read this story and more North Texas business news from our partners at the Dallas Business Journal
Existing home sales in Dallas-Fort Worth jumped more than 14% year over year in January — a "tremendous improvement" from 2023 that could foreshadow a solid spring housing market, according to a new report.
DFW ranked second in the country for having the largest jump in existing home sales, according to the Re/Max National Housing Report, released Feb. 15. Home sales in DFW totaled 5,208 in January, up from 4,560 homes sold in January 2023.
Only Salt Lake City, Utah, had a bigger percentage increase in existing home sales, with a 20% year-over-year jump, according to Re/Max. Las Vegas ranked third.
The number of new listings in North Texas was up almost 41% compared to a year prior, according to the report. The supply of new inventory was up nearly 79% from a year earlier.
Across DFW, the average home sold in 55 days in January, which was one day faster than a year ago.
The report indicated that DFW home sales are indicative of an “early spring real estate market,” said Mark Wolfe, president and owner of Re/Max DFW Associates, who said the spring market has already hit the area in February.
“We are seeing significant improvement in the market,” he said. “There are more sellers and there are more buyers ... which is very good."
Wolfe added that the picture looks slightly different in the northern suburbs of Dallas but home sales are still faring well compared with the rest of the United States.
“Our market is strong because of people moving into the Dallas area,” he said. "We have a significant amount of people moving in from other parts of Texas, from California, from all over the nation."
The surge in home sales also comes as inflation begins to ease its grip on consumers, who have been burdened by escalating costs over the past few years. The number of new listings is good news for buyers ahead of the usually busy spring, when many sellers decide to list their homes.
As long as the economy continues on its current course, the housing market could have a strong showing throughout 2024, especially if interest rates drop, Wolfe said.
While inflation and higher interest rates slowed the economy in 2023, Wolfe said these factors have had less impact on the housing market this year as consumers have come to accept the reality of higher prices.
Moreover, home sale prices in DFW are up only 1.6% from a year ago, reaching a median price of $381,103 in January, according to the report.
In addition to steady prices, a significant number of homes are also selling above their list price once again, Wolfe said.
Construction of new homes across North Texas cities has largely declined as high mortgage rates continue to influence the market. However, in the fast-growing Celina, single-family home building permits surged 52% in 2023. Home permits also shot up by 47% in McKinney and 64% in Princeton, both located in Collin County.
