There’s no question summer is heating up and so is housing. According to a recent report by Realtor.com, the Dallas/Forth Worth area has the hottest housing market in the country from both a supply and demand perspective.
Realtor.com economist Jonathan Smoke said, “Sellers are seeing listings move between 29 and 49 days more quickly than in the rest of the country.”
Smoke also said, “The large increases in price appreciation in the Dallas area appear to be slowing down slightly.” Although overall in regards to the DFW market, he said, “It’s definitely not slowing down.”
As we move into summer, there is cautious optimism when we look at the hard numbers that were announced last week. Housing Starts nationally slumped in May, with construction on new homes falling 11.1 percent from April. The biggest hit was to the Northeast part of the country with a decline of 27 percent. In the Dallas/Fort Worth area, we are also experiencing the same trend with new home activity where home starts fell 22 percent in the first quarter from a year ago. However, there is some good news in the market.
First, Building Permits rose 11.8 percent nationally. Also, the National Association of Home Builders Housing Market Index rose five points to 59, the highest since September 2014. The Housing Market Index is a reflection of builder confidence, and any number over 50 indicates more builders view housing conditions as good rather than poor. As long as builders are feeling confident about the future, that is a good sign.
In regards to home mortgage interest rates, they remain near historic lows and now is a great time to consider a home purchase or refinance.