So how Bad is the Dallas Housing Market?

Dallas housing market update! Is the market really as bad as they are saying in Dallas? Or is it a lot of hype and drama?

So how bad is the Dallas housing market? Well, today we wanna get into discussing what we're seeing here in the Dallas, Texas area in regards to real estate. What you may be expecting if you are making that move here and relocating here to the great state of Texas, especially here in the Dallas, Texas area.

Well, of course, if you're watching the news, if you like to pull up the six o'clock news, like my parents like to do every single night. If you're on social media, it doesn't matter where you go. It seems to be, that everybody's preaching this doom and gloom life is over don't buy real estate interest rates are rising, and how much worse could it get? Well, of course, that's what they put out there because fear sells, back when the market was hot, our interest rates were below 3%. Then they were up at 4%, 5%, and now we're inching upwards of 6%. So yes, the interest rates are rising, but of course back when the interest rates were below 3%, that was historically low. Like as in, we pretty much never saw that less than 3% is crazy in the purchase of a home.  Now that our interest rates are upwards of around 6%. Yeah. They're getting higher. That's still a really good interest rate. I mean, back when my parents bought their first house, um, we don't even need to discuss it. It was I think, 17 or 18% or something like that. And that wasn't unheard of. So the fact that we're still around just below 6%. Interest rates. It is, you know, not something to freak out about. It's just something that you need to be a little bit more prepared for what you thought you could afford before maybe, you know, $800,000.

Well, maybe you need to adjust that price point a little bit more and not completely max out your budget, but there are also some great scenarios in order to be able to do that. And what it is that you can look for here in our Dallas market.  so back when the market was crazy, we were looking at, less than a one-month supply of inventory. If the houses were coming on the market, they were selling in a matter of minutes with, 20, 30, 50 plus offers on the table.  Who even knew how somebody actually won one of those bidding wars, but it happened. Homes were selling and people were making a lot of money, a lot more money than what they had anticipated.

So now that the market is starting to stabilize a little bit more, we are looking at about two months worth of inventory in a balanced market. It's typically four to six months, but now that we're. At the two-month inventory market, we're able to actually get our clients into homes. People are able to actually go out and look at four or five homes and make that decision on which house they really wanted to buy. On top of all of that, they're not having to just put out an offer, give it above, ask, offer to pay for everything, and then waive all their rights practically when making that home purchase. So they're able to go in and put in a clean offer. We've had clients who have offered to pay the title policy and the survey, and we've also had clients who had the sellers pay for it. These homes may be sitting on the market for anywhere from about 10 days to 27 days. Maybe. I mean, granted that's, that's still a little bit of a stretch right now,  we have seen it. The average number of days on market right now is around 10 days. So yes, it's not what it was before. People are freaking out. If their houses aren't selling in three days, but that's totally normal and the fact that your houses are selling in around 10 days is still a really good timeframe. It's just putting more eyes on your property and yes, people aren't coming in, with 30 offers, but you only need one to sell your house and you need a one really good one.  so something to think about people are still selling their homes and they're still selling them for really good prices, granted when homes were selling, the average above asking was around 105% of the list price. We were seeing homes selling for quite a bit more than that, but also now a lot more of these homes are selling, right around the asking price and what agents are having to finally start to do is actually price their home accordingly and if they're trying to price it at the very top of the market, that's when you're starting to see a lot of price adjustments, for example, we had a client who was looking their price point, their max budget actually, because of the change in the market was 800,000 and initially this home had been listed for $850,000, next thing, you know, they had dropped the price down to $799,000, which is when we noticed it. And we went and looked at it, it had absolutely everything that they were looking for in this, in the neighborhood they wanted, it had three car garage, it had all these extra things that they were, kind of like their wishlist instead of exactly what they had to have. We went and saw the home. They were still kind of a little bit gun shy about it because it was right at the max budget and they happened to be going out of town for the weekend and they just kind of took a minute to think about it. Well, by the time they went out of town and took the weekend to think about it.

Next thing you know, there was another $30,000 price decrease and they could not believe it. So obviously from what it was initially listed at $850,000, they were able to get it for $770,000. And they were completely over the moon. They didn't feel like they had to go in quite at their max budget and they still actually won the offer on this house. Granted, they got really lucky. The home ended up being on the market for about 14 days when we made that offer and the sellers, I'm pretty sure put their house on the market thought that it was gonna sell within a weekend, but within two weeks they ended up moving and relocating for work already and that they were desperate to sell it. They wanted to make sure that they didn't have it sitting there when they left town. And we ended up getting that offer accepted. And my clients were super excited. So,  seeing price adjustments, no matter where it is, people might have been holding off a little bit longer and putting their houses on the market from what they had wanted but actually, when they're ready to go, it's putting a little bit more of that panic mentality in there because they knew that back in the day, you know, people were realizing that, just even a few months ago, homes were selling above ask and with multiple offers, we are still seeing somebody wars here in the Dallas, Texas area, obviously based on the neighborhood and the schools, you know, if you're moving for your family or even some of these areas downtown, there are highly sought after areas, if you're single or buying your first home in some of these top areas where you are still seeing multiple offers, but it's more of like two or three offers as opposed to 20 to 50 offers. So just making that much more doable homes are being offered right now. Um, homes are selling right about asking, so you're not having to go into this Crazy, asking offer to waive the appraisal offer, to pay all the seller fees, just to be able to win the contract on a house. So being able to go in and write a clean offer and negotiate, some really good terms, then it's absolutely winning in favor of the buyers who are finally able to ready, able, and ready to buy a home.  The fact that one was it. They had dropped the price significantly for that one client. When it came to it, we did an inspection. Obviously, we would've been able to ask for repairs, but it ended up being a win-win for both. It was a super clean house. They had taken really good care of it and so we didn't have to ask for repairs, but at the same time, when the sellers had dropped the price of the home by $80,000, they didn't have to worry about coming out of pocket it ended up just being a really smooth transaction. But on the other hand, we got another client. Under contract. And I think the sellers just thought that they could take it as is because they, we did offer at list price. It was a super cute house in a great neighborhood, but come to find out there were all of these hidden things that we didn't know but the sellers, I think didn't think they had to make those repairs or weren't willing to, and at the end of the day, because it ended up being such a nightmare. My clients decided to walk. So you are still getting those situations because they're realizing there are multiple options out there.  People may not be as desperate to buy quite so quickly and they are starting to see more options. So yes, the housing market is changing. Our interest rates have gone up, but before we're starting to hear it all around you date, the rate you marry the house. Well, obviously that is absolutely true, but you should never get into a home that you can't afford. Another reason why you reach out to us is that we work with a lot of fantastic local lenders who really know the market and know how to work the interest rates and know how to make sure you know exactly what it is that you're going to have to pay monthly when purchasing a home. We don't really typically love, um, in fact, almost ever. Having somebody use one of those online lenders. And if you reach out to us, we can put you in contact with people who really know the market here in the Dallas, Texas area. So another thing to think about if you're ready to make a purchase on a home out here, well, you still need to be comfortable with your payment down the line. Obviously, if the interest rate goes down, then you keep more money in your pocket, but you're still going to have to pay those refinancing fees and all those other things that you might need to in order to redo your loan. But also it's another good thing that if the interest rate rises, you were locked in at an interest rate, that was a lot more comfortable for the price of the home that you got yourself into.  But also you reach out to us because we know the area. If you wanna live downtown, if you want to, if you're moving to Texas because you know, you can get some land and you don't necessarily have to be right in the middle of the city.

We know those areas too. If you're looking to get your kids into great schools, and great sports programs, another reason why you reach out to us is that we have put so many clients into so many of these different areas and we truly know a lot of these communities that you may really be looking for. you may want to know a little bit more about some of these hidden gems that you may never have considered, just because you're always looking at the bigger cities and what everybody's recommending. So if you really wanna know what it's like living in Dallas, if you really wanna know some of the great areas that you might wanna consider moving to based upon what it is that you're looking for, reach out to us. The more that we can get to know you, the more that we can help you find that perfect fit, whether it's for you, your family, your dogs, your cats, or your horses.

That's what we do. So reach out, give us a call, shoot us a text, send us an email, let us know what we can do to help you make that smooth move here to Dallas.