How Competition is Causing $300K Over Asking, Waived Options, Cruises as Incentives

We all know the housing market in Dallas-Fort Worth is hot. But how overheated is it? It’s getting competitive, for sure.

Real estate broker Joe Atkins of Joe Atkins Realty told WFAA/Channel 8 that potential homebuyers are losing out on bids that have gone over $50,000 to $100,000 over list price on homes in the $500K, $600K, and $600K range.

Atkins said one of his agents claimed a homebuyer wanted to go $300K over the asking price on a million-dollar property in Southlake. “According to him, they got it, but it was still tight,” Atkins told the station.

In another case, WFAA reported that sellers waving their option periods, the specific numbers of days outlined in a contract that allows the buyer to terminate the contract for any reason. Sellers are also reportedly offering sellers a paid vacation cruise to get their house sale moving.

It doesn’t help that Realtor.com has surveyed sellers who are asking more for their properties than they think they’re worth. One in 10 hope to get double what they originally paid.

In April, North Texas median single-family home sale set a record at $325,000, 18 percent higher than in April 2020, according to the Texas Real Estate Research Center and North Texas Real Estate Information Systems.

Just to be sure, homebuyers should be aware that pre-approval isn’t a guarantee, cash buyers are in the field, and appraisals aren’t holding water.

It’s competitive out there.