Prediction No. 1: Median Sales Price Will Rise
Correct Prediction — According to The Real Estate Center at Texas A&M University, the median sales price in 2017 for Tarrant County was approximately $217,000. The median sales price for Tarrant County in 2018 thus far shows to be $229,500. (Note: Stats for December 2018 have not yet been published.)
Prediction No. 2: The Luxury Market Will Be Slower
Sort of Correct Prediction — Statistics show that the average days on market for luxury homes priced $750,000 and above were about the same from 2017 to 2018. Ask any real estate agent in the with knowledge of that market and they’ll tell you sales definitely took longer. It felt that homes took an eternity to sell and went through a number of price reductions.
Prediction No. 3: Growth Will Continue
Correct Prediction – This was an easy one. While Exxon Mobile left Cowtown for H-town, the impact felt was minimal if non-existent. While Amazon punked the Metroplex over HQ2 for other areas of the country, people still flocked to the Lone Star State in 2018.
Prediction No. 4: Cowtown Is Still King
Correct Prediction — Another no-brainer. Fort Worth is by far the best city in Texas to live, work and play! Yeah, yeah Dallas might have a few better restaurants and more hipsters riding around on scooters, but that doesn’t compare to all that Fort Worth has to offer. There is no better city around with culture, college sports and atmosphere, world-class museums, a legendary golf tournament, historic charm and character and so much more. Dallas can have their scooters and rent-a-bikes all they want!
Now let’s have some 2019 predictions.
2019 Prediction No. 1: The Price Must Be Right
As we move more and more into a buyer’s market, top notch Realtors will prove their mettle as they help their clients successfully navigate the sales process. The best agents will not fear telling their sellers the truth and assisting them on pricing homes correctly and realistically. Price a home correctly, and multiple offers will continue to come and sales will happen. Price it incorrectly and we suddenly will hear whining and moaning from agents claiming “housing recession” or how “no one wants their listing.” Sellers, do your homework to find a true real estate sales professional.
2019 Prediction No. 2: The Interest Rate Won’t Be a Factor
Look, we all put too much emphasis on the interest rate. Yes, yes it’s certainly important and will certainly be a factor in the overall price of home you and can buy and your monthly payment. But interest rates aren’t going to cause many buyers in 2019 to not be able to afford a home.
A bigger factor in home ownership is the median sales price of Tarrant County. As we predicted in 2018, the median price rose. Even if it doesn’t increase in 2019, it’s still too high for many people to stop renting and start owning.
This is a critical piece in the overall health of a city and real estate market. If buyers can’t own at an affordable price, they can’t build equity and realize that equity once they sell in the coming years. If buyers don’t get in the game soon, prices for “starter homes” will be so high that the real estate market will completely miss out on a generation of potential owners … that’s not good.
Sweat the price, not the interest rate.
2019 Prediction No. 3: Flips Have Flopped
We started seeing a slowdown in the number of flips at the end of 2016. Fewer and fewer investors seemed to be able to find homes on the cheap, rehab them for a little money, then sell them at a profit.
In the past, Tarrant County had areas where investors could find older homes in need of some love under $100,000 and the market would support an updated flip house for $250,000 or more.
Now those homes that need love start higher than what would make sense for investors to purchase, update and make a profit for their labors.
2019 will continue to see fewer and fewer flips. Investors are going to have to find a new sandbox to play in for 2019.
2019 Prediction No. 4: Bow Ties Continue To Be Cool
Nothing better than a bow tie-wearing, Real Estate Sherpa for 2019.
Hey, my column means I get to predict what I want! In the words of the great Walt Disney, “I can create faster than they can copy.”
The Bow Tie Realtor agrees with that statement!
Well, that’s all from Tarrant County this week Dirty Readers. Thanks for reading and following and sharing! As always, if you have questions, comments or great ideas for a blog … hit me up!
Seth Fowler is a licensed Real Estate Sales Professional for Williams Trew Real Estate in Fort Worth, TX. Statements and opinions are his and his alone. Seth has been involved with the home sales and real estate industry in the Fort Worth area since 2004. He and his family have lived in the area for over 15 years. Seth also loves bowties! You can reach Seth at: 817.980.6636 or firstname.lastname@example.org. If you are looking for a Real Estate Sherpa to help you buy or sell … give Seth a call!