It’s Spring in DFW and thoughts are on annual property tax assessments
DFW’s prosperity during this economic cycle has been clearly evident in the region’s rising homes values
May 22, 2019
- DFW’s prosperity during this economic cycle has been clearly evident in the region’s rising homes values – and the main reason why your annual property tax assessments have been skyrocketing.
- Since 2013, the median re-sale home has increased 66 percent in DFW’s core counties and now averages over $285,000. Some of the region’s high demand locations, like Collin and Denton Counties, are well above $300,000.
- Dallas’ fast-growing northern suburbs have seen tremendous appreciation, going from $190,000 in 2013 to $314,000 currently. While great for existing owners to build equity, it impacts affordability – requiring current buyers to have $38,000 more in income to afford the median priced home.
- Another reason existing home prices have risen rapidly is because we are producing very few new homes at affordable prices. Like the commercial sector, labor availability, wages, commodity prices, and land have all been escalating – making it difficult to deliver starter homes at “close-in” locations where the new jobs are located.
- Recent information shows that there has been a very slight cooling in demand, but not much. Days on market have risen from historic lows of a little over a month to 45 to 60 days (back in 2010, it averaged 100 days).
- Premium pricing also remains the norm with little room for negotiations. Homes continue to transact for 96 percent of the asking price, compared to 90 percent at the close of 2011.
Source: North Texas Real Estate Information System; JLL Research