Northwood Hills Dallas Real Estate Market Update- Spring 2018.

Judy Switzer Real Estate

This article appeared in the Northwood Hills Homeowners Association (NHHA) quarterly newsletter “The Breeze”- Spring 2018.

North Texas real estate sales rose 11 percent in April, up from a year ago. With April’s strong increase, North Texas home sales through the first four months of 2018 are running four percent ahead of the same period last year, according to the Real Estate Center at Texas A&M University and North Texas Real Estate Information Systems.

James Gaines, the Real Estate Center’s chief economist is predicting another good year.
Although the number of houses sold was significantly higher in April than a year earlier, sales prices aren’t increasing as strongly.

The real estate editor for The Dallas Morning News adds, “In April, the median price of houses
sold by real estate agents in DFW was $255,000 – up just 4 percent from a year ago. That is
nothing like the double-digit increases North Texas saw in 2016 and 2017.”

And while the number of homes on the market this spring is up slightly from a year ago – 8
percent, that still represents only a 2.3-month supply of houses on the market at current sales rates, less than what would be considered a balanced market, in other words buyer-seller
neutral.

Texas Association of Realtors chairman, Kaki Lybbert said, “the strong activity we’ve seen in
home sales volume during the first quarter of 2018 is setting the stage for a strong summer
selling season for Texas real estate, and more specifically DFW.”

What do all these statistics mean for far North Dallas and Northwood Hills? As the spring
newsletter goes to print, we have ten active listings on the market in our neighborhood, with an
average list price of $768,795, or $184.36/sqft. The prices range in value from $425,000 –
$1,175,000. Through May 15th of this year, fifteen properties have SOLD – four of which went for above asking price, compared to thirteen SOLDs and five above original list price, for the same time period a year ago. Additionally, there are four properties under contract option, and eleven properties pending.

In a neighborhood of older homes like Northwood Hills, there are really four different product
types for sale – (1) new or newer construction – those homes that have been built in the last
couple of years, (2) homes investors purchased and updated to flip, (3) homeowner homes that
have been updated totally, or to varying degrees over the last several years, and (4) homes that
are perceived to be in need of total updating or have been demoed to some degree, but not yet
complete.

Each of these product types attract a different set of buyers, and the value range is quite broad, both overall value, as well as $$/sqft. So if a prospective buyer perceives a home is in need of total updating, they will work the numbers to determine what they believe it will take to make a particular house, their home, and back into an offer price, that will ensure when the
improvements are made, they are within the current market values.

If you are contemplating selling your home, contact your real estate professional to help you
through that process. There are still more buyers chasing fewer homes, so it is a sellers’ market. But you want to make sure you “hit the pricing mark” so you attract buyers right away. If the home sits on the market too long, it loses its luster, and buyers begin to think “what’s wrong with it?”

Northwood Hills is highly sought after and as prices rise south of LBJ, more and more buyers
come to our beautiful neighborhood for the oversized lots, beautiful trees, and meandering
streets.

About the Author

Judy Switzer