April Newsletter-From a Distance

Photo by Mike from Pexels
From a distance we are instruments, Marching in a common band
(lyrics from “From a Distance”, Bette Midler)

We pray you are all safe and well during this unprecedented time of dealing with the COVID-19 virus pandemic. Here in Texas, a disaster proclamation was ordered on March 13th. Then on March 19th Governor Greg Abbott issued more executive orders to mitigate the spread of the virus. This order closed restaurants, bars, gyms, massage parlors, schools, and prohibiting visits to nursing home facilities. On March 31st, an executive order implementing essential services and protocols. Several more orders have been issued since and you can review them here. So through mid-March through April, we saw more and more activities ceasing in order to slow the spread of the virus, now as we are coming to the end of April, we are seeing the beginning of the reopening of activities.

How Has This Impacted Real Estate Appraisals?

For appraisers, we are still working and providing appraisal services as identified under essential services. (note this will vary from some states or counties with greater restrictions). There have been many changes to how we can appraise, with an emphasis on allowing appraisals to be performed “from a distance”. Fannie Mae and Freddie Mac, FHA, VA, and USDA have all made changes and allowances for desktop or exterior only appraisals where the appraiser does not enter your home. There are ways for the homeowner to send pictures and information about the home so that the appraiser doesn’t have to enter the home. We must point out that not all loans will qualify for this type of appraisal and full interior inspections of homes we still be required. We recommend discussing with your lender the possibility of using one of these appraisal alternatives if you have concerns about the appraiser coming into your home.

If you do end up having a full inspection there are things that you and the appraiser can do to safely perform an interior inspection. We recommend:

  1. Try to be vacant from the home at the time of the inspection or go outside when the appraiser is inside.
  2. Have all doors open and lights on. This is so the appraiser doesn’t have to touch anything within the home.
  3. Please inform the appraiser if anyone in the home has been ill.
  4. The appraiser can wear disposable gloves and a mask to help minimize any potential spread of viruses. We also sanitize before and after an inspection.

Appraisers and lenders are doing their best to navigate these temporary changes during this pandemic. There is a lot of information regarding the changes and requirements. Here are a few resources that we recommend that have all of the information at one site:

  1. McKissock –Coronavirus and Appraising: A Resource Guide to the Crisis
  2. Appraisal Institute- Coronavirus Update
  3. Wallitt Solutions- COVID-19 Novel Coronavirus
  4. Class Valuation- COVID-19 Appraisal Flexibilities Guide

How Has Coronavirus Impacted Our Real Estate Markets?

As it relates to the real estate market in our area, it is still too early to determine the impacts of the pandemic on our markets. Looking at the stats for March, the impact has been minimal but what you have to understand, that the sales that closed in March began in February. The sales that close in April were typically under contract in March. Real estate moves a bit slower so it’s more difficult to see the immediate effects. Real estate agents have moved to online virtual showings, buyers become hesitant during times of economic uncertainty, and lending has become tighter during this time.

We can look at listings and pendings to get a bit of a glance into the future. We will share the current market updates for our main four counties as well as a few additional charts as well to see what is going on in the market. We are seeing a slowing in the number of sales in April which is expected. Let’s dive in:

Interactive Charts

Median Sales Price

MARCH 2020
Denton County
$319,000 | +0.9%
Collin County
$345,000 | +2.8%
Dallas County
$263,000 | +7.3%
Tarrant County
$246,502 | +3.6%
Sale prices for March are still moving up, which shows how strong this market was as the pandemic hit.  All four counties increased YoY. 
 

Pending Sales

MARCH 2020
Denton County
1,324 | -13.2%
Collin County
1,337 | -18.5%
Dallas County
1,899 | -23.7%
Tarrant County
2,153 | -20.0%
Pending sales are down YoY in all four counties, which speaks to the future lowering of sale volume in April.  This certainly makes sense due to the shutting down of businesses and stay at home orders that came into place. 
 

Months Supply

MARCH 2020
Denton County
2.3 | -20.7%
Collin County
2.5 | -26.5%
Dallas County
2.6 | -16.1%
Tarrant County
1.9 | -13.6%
The supply of homes has also decreased in all four counties as buyers have either canceled their listings, temporarily taken them off the market, or decided to wait until the curve has flattened on fighting the coronavirus. 
 

Volume

MARCH 2020
Denton County
1,349 | +3.0%
Collin County
1,393 | +3.9%
Dallas County
2,106 | -0.3%
Tarrant County
2,245 | -7.0%
When it comes to sale volume, Dallas & Tarrant County were both down for March whereas Denton and Collin county have modest increased YoY. 

Days on Market

MARCH 2020
Denton County
26 | -13.3%
Collin County
27 | -27.0%
Dallas County
20 | -9.1%
Tarrant County
18 | -5.3%
The number of days on the market is down in all four counties, which again shows some of the strength of the market heading into April before everything was shut down. Marketing times are still very low and under one month. 

Looking Forward

Looking a little into the future. Here I have compared sale volume for each county for the month of March and what has currently reported as sold in April as of 04/23/2020 for three years. Based on the current raw data that we have so far in April.

Denton County sale volume is down 21.2%

Collin County volume is down 21.7% YoY

Dallas County volume is down 33% YoY

Tarrant County volume is down 29.5% YoY

So , more impacts from the coronavirus will be seen next month and the months to follow. It will be interesting to see the long term impacts of the pandemic as we move forward through the summer months. Please reach out to us with any questions you have. We are here for your appraisal needs.

Stay safe and take care. Stay tuned.

March Newsletter- False Start, Pandemic

Normally, I would have a lovely picture of spring full of discussions of the spring market activity but, as we all know, there is nothing normal going on in our lives right now. We now use the new term “social distancing”, kids are distant learners from home, churches are learning to stream their services online, families are using Zoom or Google Hangouts to connect and many have been laid off as their employers have been forced to close.

When Italy began to have major struggles all of the world leaders began to realize the seriousness of this particular virus. The COVID-19 virus as it is now identified as. The long incubation time of this virus has made it much harder to manage because many are spreading it unknowingly. We are all now trying to do our part to “flatten the curve” to lessen the strain on our medical resources as we limit our distance from others.

This world pandemic has been unprecedented. Many who study real estate markets have been trying to compare the impacts of this pandemic to previous events but there is nothing to compare to this sudden cessation of the economy.

False Start

Our real estate markets had taken off in January and they were continuing that pace through February. The charts provided in this market update are from February as we don’t have all of the numbers in for March. Everything was going great until everything came to an abrupt halt with the sudden need to try to stop the spread of COVID-19.

Have you ever been to a track meet and a running event had a false start? If you recall our newsletter last month, it showed runners bounding out of the starting blocks. With a false start, runners burst out of the blocks at the sound of the starting gun only to come to a quick stop once the gun sounds again signaling a false start. Someone started too early so the race has to restart. This is how I visualize the housing markets in North Texas. The markets were off to a great running start, only to be halted with all momentum ended.

So as we take a look at this market update, we know that all of this was before any impact of the global pandemic was evident.

We will be watching the direct impacts of the Covid19 crisis on our markets so look for that in next month’s newsletter. Let’s now look back to “Pre-Covid19” markets in February for Denton, Collin, Dallas and Tarrant counties. Out of the starting blocks and going strong, we saw prices up, supplies down and volume up.

Median Sales Price Trends

The median sale price trends in all 4 counties are up YoY. See the percentages below. The stats from last month – Denton is down 0.95%; Collin is up 1.66%; Dallas is up 2.5% and Tarrant is up 0.83% from January.

FEBRUARY 2020
Denton County
$310,000 | +1.9%

Collin County
$337,820 | +4.0%

Dallas County
$246,000 | +4.7%

Tarrant County
$242,000 | +5.2%

Volume

The number of sales is up in all four counties with the exception of Tarrrant County which is down a slight 2.2%

FEBRUARY 2020
Denton County
1,084 | +16.7%

Collin County
1,150 | +11.3%

Dallas County
1,756 | +7.9%

Tarrant County
1,833 | -2.2%

Months Supply of Inventory

All four counties have a decrease in supply as the demand for housing at the first of the year has been strong.  All three counties have less than 3 months of supply. 

FEBRUARY 2020
Denton County
2.2 | -24.1%

Collin County
2.4 | -25.0%

Dallas County
2.5 | -16.7%

Tarrant County
1.8 | -14.3%

Days on the Market

The number of days on the market decreased in both the northern suburb counties of Denton and Collin.  The number of days on the market increased for the more urban counties of Dallas and Tarrant YoY, however the number of days on the market is less than Denton and Collin counties. 

FEBRUARY 2020
Denton County
42 | -4.5%

Collin County
46 | -14.8%

Dallas County
32 | +33.3%

Tarrant County
26 | +8.3%

Appraising During the COVID-19 Outbreak

Fannie Mae, Freddie Mac, and the FDIC have provided guidelines and some temporary exceptions to appraisal requirements. In some instances, an exterior inspection can be made rather than a full inspection and in some cases, a desktop appraisal may be suitable. This is a decision that can be made by the lending institution and perhaps with a discussion with the appraiser. Here are links to the recently published guidelines:

Fannie Mae’s Temporary Guidelines

Freddie Mac’s Temporary Guidelines

FDIC FAQs During COVID-19 (Answer #12 & #13 relate to Appraisals)

In most states and counties real estate appraisals for financial institutions fall into the category of “Essential Businesses”. There is some discrepancy in Dallas County vs the city of Dallas as to whether appraisers are considered an Essential Business. We are searching for further clarification on this but in the meantime, we continue to provide services to our clients in a safe manner while following regulations in the counties and cities we service.

Please know that we have been taking precautions during this time to keep ourselves and others safe. If someone in your house is sick please inform the appraiser prior to the inspection. Please turn on all lights, open all doors and gates. Secure your pets. This eliminates the need for us to touch anything. Here is a link to a helpful article on helping an appraiser during an inspection as it relates to COVID-19.

What Homeowners Can Do to Assist The Appraiser During the Coronavirus Pandemic– Birmingham Appraisal Blog

We can all work together during this time to stay safe. We will continue to stay abreast of appraisal guidelines and local, county and state guidelines. As we watch the markets, we will be paying particular interest to listings and pendings as they can give us a little bit of a peek into the future.

As my grandmother often tells me, “this too shall pass”. I believe her. She lived through World War II and the Great Depression. She has been a steady rock in the lives of our family. Now she is in a nursing facility in quarantine, as she is at risk at the age of 91. I miss being able to see her. We pray that this will pass sooner than later and that we all come out stronger on the other side of this. We pray for health and safety for each of you as well. With that, I will leave you with a spring picture- change is coming and we will weather this storm.

January Newsletter-2019 Year in Review

Photo by David McBee from Pexels

“And now we welcome the new year. Full of things that have never been.”

Rainer Maria Rilke

We hope that your 2020 is off to a great start! As we enter another year, we wanted to look back at 2019 and review the year. We went a little more in-depth with some of the statistical data and have some different graphs for you. This year we continued to see population growth as inventories are beginning to increase. Some interesting stats of note:

  1. Tarrant County had the largest number of sales in 2019
  2. All four counties show slight price increases in 2019
  3. All four counties have increased supply
  4. All four counties have bank-owned (foreclosure) of less than 1%.

 

Here are the numbers and stats for 2019: 

 

 

 

Overall the markets are flattening with slight increases for the year.  We are not in a down cycle. As the Texas economy remains strong and population growth continues we do not anticipate a market decline.  That said, unforeseen things can impact the market, thus we will continue to provide you with monthly updates and information. 

**Please note that these statistics are general market trends and are not considered to be used to determine the value of your specific home**

Please let us know if there is are other metrics or information you would like us to cover for North Texas.

Happy New Year & December Newsletter

Happy New Year Fireworks
Happy New Year!

Happy New Year!! We hope that you had a wonderful holiday season and made great memories.  As 2019 ends,  we wanted to say thank you for your support and confidence in us for your appraisal services.   This year was a great year and we were honored that you chose us for your residential and commercial appraisal needs.  We had a great year of residential services including, single-family homes, waterfront properties, new construction, barndominums, condominiums, and high-end luxury homes.  We also enjoyed providing commercial services for warehouses, commercial land, office/retail, and equine facilities.  We appreciated the continued relationship with many of our clients and the new clients of 2019.  We look forward to continuing to provide you with reliable appraisal services in the year 2020.

We have been experiencing some technical issues with our blog and with the very busy end of year work we have not been able to provide the December Newsletter earlier.  I think that I have now fixed some of the issues in WordPress.  It is the last day of 2019 but here it is!

Real estate markets are still inching up ever so slowly.  Most metrics are trending upward.  Median Sales Price – up slightly; Marketing Times- up; Supply-Up; Volume- Flat.  The charts below represent the month of November compared to the same time last year and have been seasonally adjusted.   Here are the charts:

Median Sales Price Trends

NOVEMBER 2019
Denton County

$315,000 | +1.6%

Collin County
$337,000 | +2.1%

Dallas County
$245,500 | +2.3%

Tarrant County
$240,000 | +4.3%

 Days on Market

NOVEMBER 2019
Denton County

30 | +42.9%

Collin County
35 | +45.8%

Dallas County
22 | +46.7%

Tarrant County
19 | +35.7%

Months of Supply

NOVEMBER 2019
Denton County

3.1 | +14.8%

Collin County
3.4 | +9.7%

Dallas County
3.3 | +26.9%

Tarrant County
2.3 | +9.5%

Volume

NOVEMBER 2019
Denton County

15,486 | +3.9%

Collin County
16,695 | 0.0%

Dallas County
24,827 | -0.1%

Tarrant County
28,117 | +0.7%
These charts have been seasonally adjusted.  Take a look at the monthly chart that shows more of the seasonal trends.   In the past four years, the market prices have consistently peaked in June.

In next month’s newsletter, we will be able to do a full recap of 2019 as December’s numbers will be in.  We try to publish the newsletter after 2 weeks into the month in order to allow time for all of the data to be collected.

This marks our 4th year of sending out a monthly newsletter.  We hope that you enjoy it and get something out of it each month.  Please let us know if there is something you would like to change or add to the newsletter to make it an even better experience. 

 

Due to some technical difficulties we are experiencing on our site, I was not able to upload the interactive charts.  Once the issues are fixed I will update this newsletter so that the charts are interactive.

 

 

Please look forward to our January Newsletter which will have all of the end of year data and analysis available. 

 

Have a safe and Happy New Year!
David & Shannon Slater

Here’s to a great 2020!

November Newsletter-Happy Thanksgiving

It’s that time of year when family and friends gather together for the season of Thanksgiving. All of us at the DW Slater Company want to take some time to let you know that we are very thankful for you! Our clients, subscribers, and friends! We are thankful that you choose us for your real estate appraisal services, market updates, questions or concerns. As you gather together in groups big or small, may your time together be special and memorable. If you are cooking for Thanksgiving, scroll to the bottom of the newsletter for a special recipe from our family to yours!

Markets still inching up

Let’s talk about real estate! The markets in North Texas are still up. Although we have been talking about the slowing and certain markets are beginning to flatten, overall markets are still rising. The Texas economy is still very strong. According to the Texas A&M Real Estate Center: The Texas economy gained 297,100 nonagricultural jobs from October 2018 to October 2019, an annual growth rate of 2.4 percent, higher than the nation’s employment growth rate of 1.4 percent. The nongovernment sector added 284,600 jobs, an annual growth rate of 2.7 percent, also more than the nation’s employment growth rate of 1.5 percent in the private sector . Jobs and people continue to migrate to the DFW area. With its recent purchase of Ameritrade, Charles Schwab will be moving its headquarters to Westlake in Tarrant County. To make room for all those relocating to North Texas, PMB Capital Investments with the purchase of 3,400 acres, just announced plans for a residential development of 10,000 homes in Wise County called Rolling V Ranch. This will be one of the largest residential master-planned developments in North Texas.

Median Sales Prices are still slightly up in our main four counties YoY. Inventory & marketing times are up and volume is either down or flat moving to a more balanced market. As noted before, we are still inching up but at a slower pace. Here are the numbers:

OCTOBER 2019
Denton County
$315,000 | +1.6%

Collin County
$335,928 | +1.8%

Dallas County
$245,000 | +2.1%

Tarrant County
$240,000 | +4.3%
OCTOBER 2019
Denton County
29 | +38.1%

Collin County
35 | +52.2%

Dallas County
22 | +46.7%

Tarrant County
18 | +28.6%
OCTOBER 2019
Denton County
3.1 | +19.2%
Collin County
3.5 | +16.7%

Dallas County
3.3 | +26.9%

Tarrant County
2.3 | +9.5%
OCTOBER 2019
Denton County
15,416 | +2.8%

Collin County
16,723 | -0.8%

Dallas County
24,787 | -1.3%

Tarrant County
28,016 | 0.0%

We will continue to watch the real estate markets. Watch for our monthly update in next month’s newsletter.



Congratulations to our own, Shannon Slater and to realtor Whitney Delcourt as they were chosen as Appraiser of the Month and Realtor of the Month from Consumer Home Value. If you have’t checked out Consumer Home Value’s website, please do. They provide a wealth of information to help consumers navitgate the home buying, selling, refinancing or remodeling process. We apprecited the kind words about our company and services from our clients and collegues.




Nana’s Jalepeno Corn Casserole

Nana’s Jalepeno Corn Casserole

Ingredients: 

Two 12 oz cans of whole kernel corn (mostly drained)

One 8 oz pkg of cream cheese

One stick of butter

One & 1/2 whole jalepeno diced ( remove seeds if mild is desired)

Salt & Pepper to taste 

Melt the cheese & butter together

Combine all ingredients in a 9X13 baking pan

Bake at 350 degrees until bubbly  (approximately 10-20 minutes)

 

This recipe is written exactly as it was given.  It will be on our table for Thanksgiving.    Enjoy!

Seasonal Changes- October Newsletter

House in Fall

Last month, I was complaining about how it was still so very hot and I was ready for the cooler fall weather. Well, yesterday we walked around a large 70-acre equine property when it was wet, misty and 45 degrees. I loved it! We are already getting a freeze warning for tonight. That is early in Texas. Some around here say we just skip fall and just go from summer to winter. Some days it certainly feels that way, but I have lived here my whole life and I know that it never stays hot forever and it never stays cold forever. Changes do come, just as they do in the real estate markets.

Real estate markets go and down. They fluctuate. This can really be seen in the interactive charts below when looking at the ups and downs from month to month. To look at a broader picture of our markets check out this chart of the real estate price cycles in the Dallas-Fort Worth Metro area. You can see that we have only had two big downturns. One in the ’80s which coincides with the Savings and Loan Crisis and the second on started in 2007 with the housing crisis.

The markets also change with the seasons. If it feels slower right now, that is because the markets typically do slow month to month in the fall. Looking at our markets of Denton, Collin, Dallas, and Tarrant counties there is a slowing month to month but when compared to the same time last year they are still increasing. The pace of appreciation has slowed but prices are still up YoY. We also wanted to show you the more rapid price appreciation in our more northern and rural markets of Cooke and Grayson counties. See the Cooke and Grayson County charts below. Don’t forget to hover over the charts as they are interactive.

Median Sales Price Trends

SEPTEMBER 2019
Denton County
$311,318 | +3.5%

Collin County
$329,000 | +0.9%

Dallas County
$249,000 | +3.8%

Tarrant County
$240,000 | +4.3%

Median Price Per Square Foot

SEPTEMBER 2019
Denton County
$140 | +1.4%

Collin County
$139 | +1.5%

Dallas County
$140 | +6.1%

Tarrant County
$126 | +5.0%

Median Days on Market

SEPTEMBER 2019
Denton County
34 | +25.9%

Collin County
36 | +20.0%

Dallas County
25 | +38.9%

Tarrant County
21 | +16.7%

Months Supply of Inventory

SEPTEMBER 2019
Denton County
3.0 | -9.1%

Collin County
3.3 | -13.2%

Dallas County
3.4 | +9.7%

Tarrant County
2.4 | -7.7%

Volume- Number of Sales

SEPTEMBER 2019
Denton County
1,225 | +7.2%

Collin County
1,370 | +14.2%

Dallas County
2,037 | +9.0%

Tarrant County
2,270 | +1.8%
 
 

Cooke & Grayson Counties

SEPTEMBER 2019
Cooke County
$210,000 | -1.1%

Grayson County
$185,450 | +7.2%
Cooke and Grayson counties are more rural markets with less population and fewer sales.  For these reason, they do fluctuate more.  There has been a strong increase in the median sales price for both counties within the past three year.  Cooke County sale prices have flattened out.  With the  population growth and price increases  in the North Dallas area, the demand for more affordable houses and the desire for more space have increased the prices in these counties.  
 

Interests have been dropping over the past year and increased slightly last week. With interest rates so low, refinances and housing purchases have been holding strong. Here is a look at the rates over the past year:

Mortgage Rates


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Happy Halloween!

We hope you have plans for a safe and Happy Halloween! As a member of the Pilot Point Chamber of Commerce, the DW Slater Company will be at our local Trunk or Treat. If you are local, stop by and we will give you a treat!

Check out these great reads: 

Does the market really change every seven years? – Sacramento Appraisal Blog

5 Scary Movies that Describe and Appraiser’s Job – Birmingham Appraisal Blog

The Penny… A Classic Example of Cost Not Equaling Value– Cleveland Appraisal Blog

Chick-fil-A and Starbucks Distributor or Move California Headquarters to Texas– CoStar

 

 

September Newsletter-Fall, Lamenting & Markets

Fall Leaves and Trees

Fall is officially here!– But it sure doesn’t yet feel like it in North Texas. It is still so very hot. Today David was headed to his last appraisal appointment. He looked at his device to see the temperature outside felt like 106 degrees. Whew! We are well on our way to having the record for the hottest September in North Texas. Not only is it still hot, but it also does NOT look like the picture above. Everything is still very green. As I type, the cicadas are singing their summer song which has long since lost its appeal. I need a new playlist. It is time for the weather to cool, the cicadas to end their concert and the summer wardrobe to change from summer sandals to boots & sweaters. I love the fall. I love the cooler, crisp weather. I love the fall colors and just that bit of change in the air. But, alas, I cannot rush it. It will eventually make its way here and my summer lamenting will be just a distant memory. Until then, I will keep cranking the A/C, and wait for the change. Speaking of change, do we see any change in our real estate markets?

Our markets started out the summer slowing and were almost flattening last month. However, prices are still rising- just at a much slower pace. In May we discussed the pace moving from a sports car to a tractor. We are maintaining this tractor pace as prices are still up 1-4 % YoY. This month, we are showing the seasonally adjusted charts for our main four counties. This better depicts the slowing pace of appreciation.

Median Sales Price

AUGUST 2019

Denton County
$315,000 | +0.3% 

Collin County
$339,990 | +1.5% 

Dallas County
$248,500 | +3.5% 

Tarrant County
$247,000 | +6.2%

Supply

AUGUST 2019

Denton County
3.2 | -3.0% 

Collin County
3.6 | -5.3% 

Dallas County
3.4 | +13.3% 

Tarrant County
2.5 | -3.8%

Days on Market

AUGUST 2019
 

Denton County
29 | +31.8%

Collin County

34 | +25.9%

Dallas County

20 | +11.1%

Tarrant County

18 | +28.6%

Volume

AUGUST 2019
 

Denton County
1,620 | +9.7%

Collin County

1,615 | +2.9%

Dallas County

2,318 | -3.2%

Tarrant County

2,658 | -3.2%

Although prices are still rising, you can see the signs of slowing as days on the market are longer and supply is increasing. Volume has not declined yet. Mortgage rates continue to remain very low which has kept this train moving. Demand is still high. New construction is trying to keep up with the demand. is typical for the market to slow in the fall. We will be watching these trends for next month.

In the meantime, check out some of these interesting reads from this month:

As always, if you have a question about real estate appraisals or need appraisal services, please feel free to contact us at www.dwslaterco.com

Geckos & Summer Housing- July Newsletter

gecko

It’s that time of year when the heat can really begin to bother you. Many parts of the country have been experiencing a heatwave. I am so very thankful to Willis Carrier, inventor of the modern-day air conditioner. I have lived in Texas my entire life but could not do it without AC! That being said, last week our AC stopped working. Yikes! Not when the heat index is over 100 degrees! Fortunately, the repairman was able to come quickly and get it up and running again. What was the culprit? What caused my AC to stop cooling? A gecko! I guess because of the more than usual rainfall we’ve had, there has been an abundance of geckos at our place. Four or five every night on our porch. Evidently, three of them decided to crawl into our outside unit and one of them crawled into a space that shorted out the system as well as himself. In fact, there were three gecko casualties found in our unit.

Just as that gecko caused problems with our AC, there are factors causing the North Texas markets to shift. The sizzling markets of rapid price appreciation, low supply and short marketing times are cooling with supply and marketing times on the rise.

What is impacting our markets? Mortgage rates are certainly not causing them to slow. Mortgage rates decreased all of throughout the month of June. But what about affordability? The demand in our area brought about by immense population growth has caused prices to rise at a pace faster than the wages have risen. A recent study reveals that only around half of Americans can afford an entry-level home. Affordability inTexas has historically been greater than the US. However, the gap has been closing in. Affordability is becoming more of an issue in many areas of Texas and especially in the DFW metroplex. Homes are beginning to stay on the market a bit longer, which is increasing the supply of homes available for buyers and in turn in bringing prices down. Sellers can no longer price to the sky and expect any and all to be able to afford it.

Today when I look at a snap snot of this area, the largest number is not the number of new listings or pendings but the number of price decreases. This means that sellers are having to come down a bit to meet the buyer. The slowing down of our markets do not indicate a crash but perhaps a more balanced market. Prices will need to match what buyers can afford.

So in our markets, median sales prices have increased nominally or are flat. Supply has increased as well as marketing times. Volume has decreased. All signs of a cooling market. Is affordability the “gecko” that is slowing down the markets? Take a look at this month’s numbers:

JUNE 2019
Denton County
$325,000 | 0.0%

Collin County
$355,000 | +2.4%

Dallas County
$269,900 | +5.6%

Tarrant County
$250,000 | +4.2%
JUNE 2019
Denton County
3.4 | +13.3%

Collin County
3.9 | +8.3%

Dallas County
3.4 | +21.4%

Tarrant County
2.5 | +4.2%
JUNE 2019
Denton County
24 | +60.0%

Collin County
28 | +75.0%

Dallas County
16 | +33.3%

Tarrant County
13 | +30.0%
JUNE 2019
Denton County
1,461 | -8.2%

Collin County
1,688 | -2.8%

Dallas County
2,203 | -12.8%

Tarrant County
2,608 | -7.6%

Feel free to click on all of the charts and get the numbers. You can see the changes that are occurring. They are not big, they are not drastic but they are enough to dampen the blazing markets that we have experienced the last five years. Of note, the Texas economy is very strong. Foreclosure rates are very minimal. People are staying in their homes longer than ever. We continue to grow as more jobs, homes, and people are headed our way. So, just maybe there is no “gecko” shorting out the system and making it unfunctional. Perhaps, home prices need to slow down and let wages catch up.

So I hope that your geckos are not shorting out your AC units and that you are able to find some great ways to cool off in the summer heat. In the meantime, if you have questions about our local real estate markets or appraisal services- reach out to us at www.dwslaterco.com

June Newsletter

Summer is here! The summer equinox has occurred. June 21st was the longest day of the year, well it was still 24 hours, but it is the day with the most sunlight. This day was also special to us personally as we had a son marry his bride on this special day! The wedding was beautiful and they were able to capture some beautiful sunset pics. We appreciate our clients who were accommodating, understanding and sent us well wishes while we were out of the office a few days for the wedding.

So what is going on in our markets? Buyers are gaining a little more leverage in North Texas. Home prices are still rising but at a slower pace. We have been reporting this for the past few months. What is becoming apparent is that homes are staying on the market longer and the supply is increasing. Mortgage rates continue to decline. Check out the stats and interactive charts we have in the monthly market updates below.

Freddie Mac Mortgage Rates
Current Mortgage Rates Per Freddie Mac http://www.freddiemac.com/pmms/

We also wanted to share some exciting things going on in our area.

Monthly Market Updates

Median Sales Prices

MAY 2019
 

Denton County
$313,050 | +3.3%

Collin County
$335,000 | +3.1%

Dallas County
$241,500 | +2.8%

Tarrant County
$235,000 | +5.1%
The price appreciation has increased between 2.8% and 5.1% for all four counties.  

Median Price Per Square Foot

MAY 2019
 

Denton County
$138 | +3.0%

Collin County
$137 | +2.2%

Dallas County
$134 | +3.9%

Tarrant County
$121 | +6.1%
The price per square foot data is similar to the median sales price showing slight price appreciation in all four counties. 

Months Supply of Inventory

MAY 2019
 

Denton County
3.1 | +29.2%

Collin County
3.5 | +25.0%

Dallas County
3.0 | +25.0%

Tarrant County
2.3 | +15.0% 
As homes stay on the market longer, buyers gain a little more leverage in their ability to obtain more affordable housing. 

Median Days on Market

MAY 2019
 

Denton County
26 | +44.4%

Collin County
30 | +50.0%

Dallas County
19 | +35.7%

Tarrant County
16 | +23.1%
The number of days on the market has increased by double digits in all four counties. 

Volume

MAY 2019
 

Denton County
1,616 | +2.6%

Collin County
1,804 | +2.8%

Dallas County
2,600 | +3.4%

Tarrant County
2,792 | +1.6%
The number of sales has only increased nominally when compared to last year. 
 
 

Great Cycle Challenge

Great Cycle Challenge

Last month we shared that we are participating in the Great Cycle Challenge. We are finishing up this month but there is still time to be a part. We were honored to be featured on the Great Cycle Challenge page. The Great Cycle Challenge has 80,270 riders this year and so far we have raised $7,741,337 to go to cancer research. If you would like to help this worthy cause see below:

We wish you a great start of your summer and look forwarding to reporting back to you in July. If you are in need of a residential or commercial appraisal service please contact us at www.dwslaterco.com