I find it so interesting that just after our boy Troy Aikman upped the price on his Highland Park abode by 12 percent, CoreLogic released its HPI saying home prices are up 6.1 percent year-over-year from October 2013 and 0.5 percent from September to October 2014 nationwide.
In Texas, though, our market is seeing record gains that, while slower than last year, still show moderate growth. The Lone Star State is among four other states to post year-over-year gains with an HPI 8.7 percent higher in Oct. 2014 from a year ago including distressed sales, and 8.1 percent higher without distressed sales.
“Home price growth is moderating as we head into the late fall and is currently running at half the pace it was in the spring of 2014,” said CoreLogic deputy chief economist Sam Khater. “However, there are still pockets of strength, especially in several Texas markets, as well as Seattle, Denver, and other markets with strong economic fundamentals.”
So, why are is Texas showing strong fundamentals? Jobs, jobs, jobs!
“The gradual recovery of the housing market continues to be propelled by improving employment, more buyer and seller confidence, continued low rates, and in some parts of the country, investor demand,” said Anand Nallathambi, CoreLogic CEO. “The continued actual and projected rise of home prices confirms that fact. Based on our projections, home prices in over half the country will have reached or surpassed levels last seen at the height of the housing bubble some time in mid-2015.”
Texas is already back at pre-recession fighting weight, though, so we have to watch our waistlines and our appraisals to make sure we aim for sustainable growth, especially in Dallas. Agents are reporting some homes in the $500K range and above sitting on the market for much longer than anticipated, but homes priced appropriately in key areas are being snapped up within 30 to 60 days.
What are you seeing in your neck of the woods?