Home Values Expected to Rise?

[nativeDallasite]

Originally Posted by GordonGecko

Robzherenow,

I'm sorry, but if I were you I would not listen to anything HAMILTONPL has to say. According to him/her, if you do not live in the Park Cities, you are a nobody.....

I agree; he seems to have some serious 'tude about anywhere that isn't the Park Cities. Take his advice with a grain of salt.

[loves2read]

Dallas is one of the cities where some "experts" are predicting the slump is actually just starting--inventory is growing in the Dallas Metroplex, builders are still building (although not at the record pace of the past 3 years) and new developments are being planned...if job growth does not continue who will buy the houses already on the market or those planned...
because Dallas does deal with so many transfers, many people are stuck trying to sell their relo homes before they can buy here--that will cause rental homes to be more valuable because they may be stuck for 6 mo to a year in limbo---
I know that is happening over in Tarrant county now from what my realtor told me--she has three clients who can't buy because they can't sell their homes --2 in California and 1 in Chicago...
think that some things seem more predictable than others--I would definitely expect that homes in the Park Cities areas will see price increases and that certain areas inside and outside the Loop will as well...but in areas like Plano, Frisco, Allen there are too many factors to say ALL houses will appreciate in price whether they are in newer or older neighborhoods---
If you are planning on buying a home and reselling in 4-5 years, don't think there is any "safe" bet that you will make money...

[hamiltonpl]

Originally Posted by GordonGecko

Robzherenow,

I'm sorry, but if I were you I would not listen to anything HAMILTONPL has to say. According to him/her, if you do not live in the Park Cities, you are a nobody.....

Show me the quote where I said that.

[hamiltonpl]

Originally Posted by nativeDallasite

I agree; he seems to have some serious 'tude about anywhere that isn't the Park Cities. Take his advice with a grain of salt.

Show me the quote. I think the Park Cities trumps West Plano and rest of the outer suburbs. But I also think Preston Hollow, North Dallas, and East Dallas trump West Plano.

In the end, I don't want people moving the Collin County because they think it's the only option.

Show me the quote that said if you don't live in Highland Park, you're a nobody.

[loves2read]

you know you did not "write" that phrase specifically--hamiltonpl--poster was referring to what was inferred from your opinions...and from this post, I can infer that you rank West Plano significantly down the scale of desireable housing locations...

[Yac]

Everybody calm down and discuss the topic, not each other.
Yac.

[sheri257]

Originally Posted by Robzherenow

Thus, a shortage of available homes, should create an increase in demand for housing in these areas- resulting in an increase in home prices. Does that logic make sense or is my assumptions incorrect?

I'd say your assumptions are incorrect. Generally, homes don't appreciate much in Texas.

According to Texas A&M, homes have historically appreciated at about half the rate of nationwide home appreciation. About 4.4 percent annually versus 8.4 percent nationwide since 1990.

What's Happening With Home Appreciation? - Tierra Grande (April 2006) (broken link)

Texas has seen some increases recently but, that's mostly driven by out-of state buyers who sold their homes in higher priced markets elsewhere.

Now that out-of-state buyers can't sell their homes as easily, nor can they sell the houses for the higher prices they got before ... I wouldn't count on the recent appreciation as an ongoing trend either.

[loves2read]

there has been market appreciation in some areas of Metroplex and in some price ranges but not to the extent of other areas of the country--like NYC or Boston or California--of course in 2 of those 3 there is market stagnation now and in California, especially, there is a serious housing oversupply and pricing problems...same as in Florida around Tampa/Sarasota and Miami areas to name just two...
I don't agree that the increases in home appreciation have predominately been driven by out of state buyers who sold their homes in higher priced markets and took those proceeds to DFW--some of the buyers fall into that category--sure...but there are many buyers in Dallas market who are home grown and have done well in economy upsurge and have bought more expensive housing...plus in certain areas the limited inventory/availability has encouraged price increases...Katrina's aftermath caused a HUGH surge in price of construction materials and labor (but not as much) which put Dallas and any other area with new construction or significant remodeling needs into direct competition for materials with everyone in Gulf Coast doing a rebuild...
Price of concrete and sheetrock when out the roof--that had BIG impact on prices here--it was articifical in sense that it was not probably maintainable for forever--but the costs of building right after Katrina put more dollars per sq ft into homes ---those homes will always be overpriced compared to home built even 3-4 months before---and the prices are only now starting to come down for some materials...probably due to the decrease in large tract builders
constructions...
and frankly part of the increase in prices was just greed--land speculators/developers and builders were making big profits because land was relatively cheap when the construction boom started---they saw how other areas of the country were having run-up in home prices and just decided to see how far they could price the market--subcontractors started doing the same thing--some people made a good profit -- more than normal...until the slowdown...
and lets don't forget the appraisers who in many cases overpriced homes to justify larger mortgages--