Home prices in the Dallas metropolitan area rose 7 percent year-over-year in January, according to the just-released Standard & Poor’s/Case-Schiller Home Price Indices.
“Home prices are still trending upward,” says Ted Wilson, principal of Dallas-based Residential Strategies, of the data. “I’m sure it will go on for the next year or so, as long as the rates stay low.”Low interest rates — about 3.2 percent on a 30-year mortgage — gives home buyers 30 percent more buying power, which creates room in the market for home prices to rise, Wilson says.
Expect home prices to continue to rise as long as interest rates remain low, Wilson says. The trend is being seen throughout the nation, with an increase in home prices year-over-year of 7.3 percent in a 10-city composite and 8.1 percent in a 20-city composite, according to the Standard & Poor’s/Case-Schiller Home Price Indices report. Rising home prices are also reflected in sales data at the Ebby Halliday Companies, where average home prices in March 2013 have increased 15 percent over March 2012.Considering that housing inventory is at its lowest level in years, interest rates are at historic lows and home values are rising, the time to sell a home in North Texas couldn’t be better.
To learn more about the rapidly strengthening North Texas housing market or for questions involving the current value of your home, contact me today!