After a decline in June, North Texas home sales bounced back in July with a 6 percent gain from a year earlier.
And sales prices last month were up 6 percent year-over-year in the just-released report on the local housing market from the Real Estate Center at Texas A&M University and the North Texas Real Estate Information Systems.
Real estate agents sold 10,559 preowned single-family homes in July. While higher than a year ago, the monthly total was down slightly from the number of houses that traded in the area in May and June, according to the report.
In the first seven months of 2018, real estate agents sold 62,550 single-family homes — 2 percent more than in the same period last year.
Median home sales prices in July were $265,000, which was 6 percent ahead of a year ago, according to the home sales reports.
Ted Wilson with Dallas-based housing analyst Residential Strategies said that a lack of affordable homes for sale is slowing property purchases.
"The lack of housing that's priced under $250,000 is going to put some kind of a lid on how much the market can grow," Wilson said. "The price increases we are feeling right now are coming from the rise of the prices at the low end.
"There isn't much appreciation of higher-priced homes."
Most of July's home sales gain came from purchases of houses priced between $200,000 and $400,000. Purchases of higher-priced houses accounted for less than 5 percent of total sales.
Wilson said years of rising home prices in the area have caused sticker shock with buyers.
"And the increase in just the mortgage rates adds a significant amount of cost to the buyers' monthly payments," he said. "There are some markets at the upper end where we have hit the price ceiling."
The number of North Texas homes in the area for sale with real estate agents rose to 25,449 listings, which was the highest inventory since 2012.
Just under a three-month supply of homes were for sale in the area in July. At the start of the year, there was less than a two-month inventory.
Sales of lower priced houses in D-FW have declined this year because of a lack of inventory and fierce competition from investors.
Housing analysts are predicting slower home sales and price growth this year after years of booming residential activity in North Texas.
Pending home sales — properties under contract but not yet sold — were down 3 percent in July from a year earlier.
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Info taken from https://www.dallasnews.com/business/real-estate/2018/08/08/north-texas-home-sales-bounced-back-july-6-percent-gain