Fort Worth Market Trend Update February 2016
The end of 2015 marked the end to a great year in real estate for investors and consumers alike. The entire year was a sellers market with an average rise in home value of 5.1% which is a huge win for those who bought their homes after the bubble in 2008.
Much of the rise in value can be attributed to the crawl of a recovery from the recession and Texas having one of the strongest economies in the United States. As more jobs keep pouring into the state from giants like Toyota, Facebook and Amazon we should continue to see a strong Real Estate market.
Gary Keller has predicted a shift to start this year from the strong sellers market we have now (about 2 months of inventory) to a more balanced or buyers market.
What this means to you
If you’ve been thinking about selling, now has never been a better time. While we will see the shift here in Texas it should not be as severe as in other areas of the country for the reasons mentioned above. We more than likely will begin to see prices soften towards the years end.
Take a look at the yearly trend in Fort Worth home values over the last few decades.
This clearly shows that home sales are back to their all time high as they were back in 2006 and home values are higher than they have ever been. So for those consumers who have been stuck with investment properties that they purchases at the peak, they may be able to sell them now without taking a loss.
Local Area Predictions
For those who have invested in the Ridglea area or Arlington Heights over the past few years have undoubtedly seen a great return on investment. With the prime location to downtown and excellent schools it’s no wonder that these homes are going for $140-180 per square foot.
Many investors are buying older small properties in these areas, adding on square footage remodeling and flipping these once antiquated houses into magnificent homes. So if you are sitting on an older home in these areas, they may be worth more than you think. Contact us today to find out! (shameless plug)
As these renovations continue, the area to keep your eye on is Como. Right now it’s known for low income, high crime and foreclosures but it’s sitting in a prime location to be renovated. It may take a big time investor to move quickly or move slowly over time but the location is too good.
So the big question is will this upwards trend continue or will we see another bubble like in 2006. Well if I knew the answer to that, we would all be millionaires. I believe we will see the market start to soften this year but remain a strong sellers market.
Update – June 2016
It’s a great time to be a seller in this market! We are at the top end of the market here in Dallas/Fort Worth Texas. The market has leveled off in the last 3 years and is holding as a strong sellers market with about 2 months inventory.
If you have been thinking about downsizing this is definitely a great time to do so. There are still plenty of people moving to Texas because of our strong pro business policies.