Dallas-Area Home Prices Up Nearly 3% Over Last Year
It’s the largest annual increase in a year, but prices in Dallas-Fort Worth rose half as fast as they did nationwide.
Dallas-Fort Worth home prices were up nearly 3% in January 2024 from the prior year.
That’s half of the national 6% gain, according to the latest S&P CoreLogic Case-Shiller Home Price NSA Index. But it’s DFW’s largest annual home price increase in a year, according to the closely-watched monthly housing market measure.
Home prices continued their drive up after bottoming out early last year. The nationwide 6% increase is the fastest annual rate since 2022, S&P’s Brian D. Luke said in the report.
Dallas (2.9%) had one of the smallest increases in the 20 major metros that Case-Shiller tracks. Only Denver (2.7%) and Portland, Ore., (0.9%) saw annual prices increase at a lower rate.
San Diego (11.2%) and Los Angeles (8.6%) reported the highest annual increases. The Case-Shiller index is a three-month moving average that compares sales-price changes of specific properties over time.
“For the second consecutive month, all cities reported increases in annual prices,” Luke said. “On a seasonal adjusted basis, home prices have continued to break through previous all-time highs set last year.”
On a monthly basis, home prices continued to struggle at the start of 2024 in the face of elevated borrowing costs. The index report shows DFW’s prices fell 0.2% from December 2023 to January 2024.
Seventeen of the major markets dropped. Only San Diego, Washington and Los Angeles saw month-over-month increases, according to the index.
“While the strain of elevated mortgage rates continued to depress prices, monthly decline slowed from larger declines seen in the previous two months and reflecting improvement in rates from the 2023 fall peak,” said Selma Hepp, chief economist at CoreLogic.
The Dallas-Fort Worth area is forecast to be one of the country’s top home markets in 2024, and other data suggests home prices in North Texas may be headed higher.
The median sales price of a home in DFW in February 2024 was $390,000, according to data from the MetroTex Association of Realtors and the Texas Real Estate Research Center at Texas A&M University.
That’s a 2.4% increase from February 2023.
“Going forward, spring home buying season will elevate home prices from winter lows. However, the rate of annual gains is likely to slow given the difficult comparisons with last year’s spring surge in home prices,” Hepp said. “Still, annual gains will remain solid and likely show another 3% to 4% increase this year.”
Source: Dallas Morning News