Zillow reveals how fast home values are rising in Dallas-Fort Worth
The spring sales season is well underway, and those looking to buy a home in Dallas-Fort Worth should expect to pay a premium regardless of the price, says Zillow.
A new study by the real estate authority shows that the annual appreciation of DFW real estate values in all price levels was at least 8 percent in February 2021, with real estate values growing the fastest in the cheapest category.
In the Dallas-Fort Worth subway, the lowest home value year-over-year rose 9.5 percent to a typical home price of $ 194,484, Zillow said. That rate slightly exceeded the middle tier home values, which rose 8.9 percent to $ 278,259, and the top tier home values, which rose 8.6 percent to $ 445,949.
In most major US metropolitan areas, “entry-level homes, most likely to be sought after by first-time and / or lower-income home buyers, have also appreciated the most over the past year,” says Zillow.
Two more Texan metros are following the national trend:
On the San Antonio subway, the lowest tier rose at a rate of 7.9 percent to a typical home value of $ 153,904, compared with 7.3 percent for the top tier.
In the Houston metropolitan area, the lowest tier rose 9.3 percent to $ 166,556, while the top tier rose 7.4 percent.
In Austin, however, home values grew the fastest at the most expensive tier, rising 14.9 percent to $ 666,034. At the same time, the lowest home value in the Austin metropolitan area rose 14 percent year over year.
“The demand for residential real estate in the metropolises of Dallas, Houston and Austin is largely uniform across price levels,” says Zillow economist Arpita Chakravorty. “While real estate values in the cheapest segment are growing fastest in Dallas and Houston, the medium and higher rated houses are catching up quickly due to the strong demand. The spread between appreciation rates in Austin is also increasing, indicating extreme competition across all price levels. “
Don’t expect things to slow down, whether you’re in the market right now or planning on looking for a home in the future.
Looking ahead, Zillow expects the typical home value in each of the Texas markets mentioned to increase by at least 10 percent by next February. For Dallas-Fort Worth, Zillow predicts a price increase of 12.6 percent – the largest in the state.