Flower Mound - wellington estates (Dallas, Fort Worth: 2014, HOA, new house)

[FM2006orFrisco2014]

We really liked the flower mound area. However, prices have jumped up big time lately (last 3-6 months). The average sq footage price in first quarter of the year seemed to be around 100-110$. It was definitely closer to 100$ per sqft in last quarter of 2013. However, I am not able to find anything less than 120$ per sq ft in Wellington Estates Phase 3 (close to liberty elementery) for something built between 2002 and 2007.
There are couple of properties we really liked and well kept and around 10 yrs old. However, it seems we are overpaying by 35K-50K at 120$ per sq ft price. So, we are not sure on how to proceed.
Our budget is around 400-425k (max) for 4+ bedroom house.
Any suggestions or advice? Do you think 120$ per sq ft is overpriced or this is here to stay?

[Restrain]

You can get plenty of home in Wellington for $400K. Wichita Chase, just south of Wellington, is more expensive. Housing prices have jumped appx 15% in the last year due to demand, very limited inventory.

Wellington has historically increased in value, not experienced a downturn.

A little further out 407 is Lantana, which is a golf development, very competitive with Wellington.

[FM2006orFrisco2014]

Thanks restrain... Agree that prices have picked up strongly...Do you think a 2005 built 3300 or 3400 sqft is worth 400k in wellington estates or is it overpriced and we might be better off looking at other places? Similar house was priced at 350k not long ago.

[Rakin]

Wellington is one of my favorite areas. Homes are going 3-5% above asking price, multiple offers and $117-120 / sq ft is here to stay for the newer nicer homes.

Flower Mound pricing follows Coppell due to location demands and Coppelll is now at $130-175 /sq ft.
Valley Ranch and Las Colinas is also at $130-170 / sq ft.

So.... Huge demand as of now I don't see decreasing costs. And new construction costs are all above this also.

[Rakin]

Originally Posted by FM2006orFrisco2014

Thanks restrain... Agree that prices have picked up strongly...Do you think a 2005 built 3300 or 3400 sqft is worth 400k in wellington estates or is it overpriced and we might be better off looking at other places? Similar house was priced at 350k not long ago.

I'm listing a Wellington home within the week that is just what you describe above.
A year ago it would have listed between, $360-380k.
It is going on the market quite a bit above $400.

Lantana is the same. What you could have gotten there for $320 is now running $365k.

[FM2006orFrisco2014]

Thanks Rakin... we tried on some of the coppell and valley ranch areas.... very quickly gave up due to pricing and always late :-)... most of the homes had a bid even before they came on market... than we started looking outside of coppell or valley ranch or las colinas...and settled between Frisco and Fm... what is your personal preference between Frisco and FM? specially if you consider new constructions available at same prices in Frisco vs 8-10 year old home in FM (wellington estates specifically)
Thanks again for your reply..

[adixyz]

I live in Wellington. Paying over the asking price is the only way you can get a house. Its crazy and I hope this market stabilizes soon. Last week on a house, there were 6 offers within a day. One of the house near our neighborhood last month got 20K more than their listed price. Even in the down market (2008/209), worst case, houses in Wellington will sell within 3 months. FM home prices have not shot up like Frisco whereas FM is more centralized with excellent schools. I think if you like the house, with the master planned amenities you get in Wellington area, its worth it. Annual HOA is less than $ 700 Vs getting no amenities in other neighborhood for 400-500 annually. Most schools (all exemplary) are walking distance. I have been telling this to my friends since last 2 years - Anything under 400K in FM is cheap. Most new houses in FM are starting 450K and with upgrades it costs half million. The Grapevine funnel has already been reconfigured with separate lanes for downtown, 635 and 121S. For going to Fort worth, 1171 already was 6 lanes until Shiloh. Its now being extended all the way up to 35S. After completion of the 35 /820 stretch, Fort Worth downtown will be under 45 mins. Dallas Downtown is currently under 45 mins but takes longer during peak hours. Same with the commute time to Richardson and Plano. With its centralized location and completion of the over bridge on Grapevine mall and a separate exit for 121N, FM home prices will catch up with Coppell under 750K. FM offers more greenery, open spaces, parks, shopping with lower property taxes compared to Coppell. There is negligible difference in 750K+ home prices between Southlake and FM.

[Rakin]

It's hard to find much new construction today below $450 in either city. About the newest you can find in FM below $400 is around 2004. I just had a buyer go under contract in Wellington after making 7 offers on homes. He went about $10k over asking.

I've completely given up on Coppell. It's almost impossible to get a home there.

Flower Mound has trees and hills. Frisco probably has better inventory.
I actually like both very well but if you commute to the airport or Las Colinas then FM is my choice.

You might look in La Villita - Las Colinas. La Villita elementary is an exemplary school and they should be building the middle school soon. There is actually some good inventory there right now.

[FM2006orFrisco2014]

Originally Posted by adixyz

I live in Wellington. Paying over the asking price is the only way you can get a house. Its crazy and I hope this market stabilizes soon. Last week on a house, there were 6 offers within a day. One of the house near our neighborhood last month got 20K more than their listed price. Even in the down market (2008/209), worst case, houses in Wellington will sell within 3 months. FM home prices have not shot up like Frisco whereas FM is more centralized with excellent schools. I think if you like the house, with the master planned amenities you get in Wellington area, its worth it. Annual HOA is less than $ 700 Vs getting no amenities in other neighborhood for 400-500 annually. Most schools (all exemplary) are walking distance. I have been telling this to my friends since last 2 years - Anything under 400K in FM is cheap. Most new houses in FM are starting 450K and with upgrades it costs half million. The Grapevine funnel has already been reconfigured with separate lanes for downtown, 635 and 121S. For going to Fort worth, 1171 already was 6 lanes until Shiloh. Its now being extended all the way up to 35S. After completion of the 35 /820 stretch, Fort Worth downtown will be under 45 mins. Dallas Downtown is currently under 45 mins but takes longer during peak hours. Same with the commute time to Richardson and Plano. With its centralized location and completion of the over bridge on Grapevine mall and a separate exit for 121N, FM home prices will catch up with Coppell under 750K. FM offers more greenery, open spaces, parks, shopping with lower property taxes compared to Coppell. There is negligible difference in 750K+ home prices between Southlake and FM.

Thanks a lot adixyz... this helps us feel much better... it is always about timing...we can always look back and say that peak/bottom was missed but it is very difficult to predict future...i also heard that grapevine funnel might be made toll road... plus construction is going to be bad and impact commute for next 2-3 years...any ideas?

[FM2006orFrisco2014]

Originally Posted by Rakin

It's hard to find much new construction today below $450 in either city. About the newest you can find in FM below $400 is around 2004. I just had a buyer go under contract in Wellington after making 7 offers on homes. He went about $10k over asking.

I've completely given up on Coppell. It's almost impossible to get a home there.

Flower Mound has trees and hills. Frisco probably has better inventory.
I actually like both very well but if you commute to the airport or Las Colinas then FM is my choice.

You might look in La Villita - Las Colinas. La Villita elementary is an exemplary school and they should be building the middle school soon. There is actually some good inventory there right now.

Thanks a lot Rakin... La Villita is great but it is the middle school and high school that is stopping us. THe current middle and high school covering Las Colinas are not that great. Our elder one is going to be middle very soon.. so, we discounted Las Colinas area.

The other challenge for FM is that appraisal are not coming up at 120$ per sq ft which means more cash to bring upfront. How are you managing that both from seller and buyer perspective?