The Rise of DFW Home Prices...Thoughts,Predictions & Concerns... (Dallas: 2015, apartment)

[CREW747]

The Rise of DFW Home Prices...What are your thoughts,predictions & concerns? It seems like prices in certain areas could possibly dare I say,skyrocket? Great time to own a home here but also kind of crazy....


Case-Shiller: Dallas one of top U.S. markets for home price gains | | Dallas Morning News

Expert not surprised DFW home prices continue to rise - Dallas Business Journal

[BigDGeek]

Originally Posted by CREW747

The Rise of DFW Home Prices...What are your thoughts,predictions & concerns? It seems like prices in certain areas could possibly dare I say,skyrocket? Great time to own a home here but also kind of crazy....


Case-Shiller: Dallas one of top U.S. markets for home price gains | | Dallas Morning News

Expert not surprised DFW home prices continue to rise - Dallas Business Journal

My only concern is my property taxes. And I'm also trapped in my house because I do not want to be a buyer in this market!!!

[biafra4life]

It's a great time to be selling a home in the DFW area. Owning? With soaring tax appraisals, not so much. I've had 10% increases in consecutive years. If we have 3 more years of such increases (not impossible) then it will start to swing the pendulum to where we start to become house poor. 5 years of tax increases and we have to question if being here is worth it.

[Buyer2015]

Originally Posted by BigDGeek

My only concern is my property taxes. And I'm also trapped in my house because I do not want to be a buyer in this market!!!

Sell high while your house is in demand, become a renter until next downturn and then buy low. How's rental market in DFW?

[BigDGeek]

Originally Posted by Buyer2015

Sell high while your house is in demand, become a renter until next downturn and then buy low. How's rental market?

No thanks.

[TurtleCreek80]

Originally Posted by Buyer2015

Sell high while your house is in demand, become a renter until next downturn and then buy low. How's rental market in DFW?

I don't think there's a downturn coming anytime soon, barring a national/global economic meltdown, and even then, we'll be ok.

IMO, DFW is halfway through a 50-60 year economic expansion. We are all truly living in the "boom years" of this relatively young city/region's lifespan. We have a diverse economy and weathered the 2008 recession & housing crisis quite well. Unemployment rates were always lower than national averages and thanks to tight lending regulations in TX, our housing values only fell slightly compared to the majorly over-leveraged markets in Florida, Arizona, California, etc.

This doesn't mean there won't be bumps along the way, but in general, things will keep going up (our population, our housing values, commute times, etc).

And to a answer your rental market question, it's on fire, too! When my rental property came up for leas again last fall, I raised the price almost 20% and leased it in 36 hours. 3 out of the last 4 years I raised the rent in the $100-250 range each time the lease came up. It's now renting for 50% more than in 2011.

[MckinneyOwnr]

Hmm. Buying a bigger home than I've always actually needed has served me well in the DFW area. My first condo was 1800 sq ft in Uptown when I was single. Only needed a 1/1, but with a 2/2 there was very high demand for that because more types of people were looking. Made a pretty good return over 5 years.

When I bought my home in McKinney, I was married, no kids. Certainly didn't need 3600+ sq ft, and 5 bedrooms. But, by the time it came to sell, demand was very high for it from families and we made a lot of money.

Now, with the price point and size we are at now, there's got to be some point of diminishing returns, because the fact of the matter is, the higher the price point, the smaller the pool of buyers there will be, no matter how nice of a house it is, or how good the location is, or how great the schools are. There simply comes a point where buyers will be limited due to financial constraints, and that is where I think we all need to be a bit worried. For those of us who have built up equity in the DFW area over the years and have traded up, we're lucky we got to take advantage of the rising market to do so. But now, with lots of new buyers looking to enter the market, without that sizable down payment to afford a $400k+ house... it's just not going to be attainable, especially with wages being stagnant.

Here on CD, there are a lot of affluent posters with homes in the $500k to $1mil+ range that sometimes it seems that everyone should be able to afford a home in the metroplex, but that just isn't the case. Eventually, (and probably sooner rather than later) there is going to be a very large percentage of people priced out of the DFW area completely. Wages will have to start rising to match CA and NY levels in order to purchase a home around here. I don't know how long it will take for that scenario to occur, but it seems we are well on our way.

[RonnieinDallas]

I think prices will continue going up almost everywhere. I think a lot of people in their 20's and 30's will continue to say "the hell with it" and keep renting. Although, rent is going up a lot too. There are 30,000 residential apartment units being constructed in North Texas, and nearly 10,000 of those are in Central Dallas. I think even more will be built in Central Dallas in 2016, as home prices in Dallas continue to climb.

[lily76]

Originally Posted by BigDGeek

My only concern is my property taxes. And I'm also trapped in my house because I do not want to be a buyer in this market!!!

Same here. I actually received a letter from Dallas central appraisal district regarding the tax. According to them my house has a 50000 increase in market value compared with that of last year, hence I need to be ready to pay 1000 more in tax next year.

What was very very weird was that I then received a letter from somebody who exactly knows everything about the above letter and would like to 'help' me to avoid the tax. This is so weird. How could someone know so much about me without any previouse contact from me?

My husband has contacted with the appraisal center to protest the possible increase already.

[rantanamo]

There are people that do that for a living. Some lawyers, others appraisers, etc. Your taxable value is public record so they are looking for people who they think might want to protest their appraisal. Dallas is actually pretty good about hearing you out as long as you have good evidence and go through the procedure. Its been Collin I've seen the most trouble with.