It’s up, it’s down. The luxury market is a yo-yo right now across the nation and no one is living for it! An economic cocktail that includes rising mortgage rates, the biggest rewrite of the federal tax code in a generation, possible of impeding trade tariffs, stock market volatility and rapid home price growth began to cool high-end home sales around the country in the second half of the year, and the trend is expected to continue through 2019 with some notable exceptions, according to a year-end report from Realtor.com. Check out the average listing price across the nation. This is the price range where the market is staying strong in most areas.
In the first quarter of 2019, luxury home prices decreased 1.6% year over year, marking the first annual decline in nearly three years, according to the latest data from Redfin.
Redfin classifies luxury homes as those that sold among the top 5% most expensive in the quarter. In the first quarter, luxury home prices across the country averaged $1.55 million.
A Gift Horse
What’s the old adage? Don’t look a gift horse in the mouth? What is a downturn in pricing for the luxury market is an opportunity for buyers not in the luxury market. Those who could buy due to a few points or a few hundred thousand in mortgage approvals may be able to scoop up their dream home.
The Health DFW’s Luxury Market
The luxury market is dropping across the country. We’ve just established that. What does the mean for the Dallas Fort Worth area market? Is it an oasis in the dessert or is it going down in first class with the ship?
Our apologies to those bargains shoppers out there but Dallas Fort Worth is not the place to look for a luxury home opportunity.
The state of Texas attracts more than 500,000 newcomers every year and the Dallas-Fort Worth area gains more than 230,000 of them as the top Texas relocation destination. The highest number of these re-locators are moving in from California, and many of them bring enough home equity to afford million-dollar homes in the local market.
Luxury homes in the DFW area sell for an average of $320 per square foot compared to $346 in the Houston area, $431 in the Austin area and $277 in the San Antonio area, according to the Texas Realtors 2018 report.
This new group of luxury home buyers coupled with the strong construction market have eroded the $1 million price tag sticker-shock for the area.
Luxury homes in the DFW area sell for an average of $320 per square foot compared to $346 in the Houston area, $431 in the Austin area and $277 in the San Antonio area, according to the Texas Realtors 2018 report.
Luxury Homes on the Market
Whether you’re seriously buying, or want to just spend some time enjoying the gorgeous photos, here are a few of the luxury homes for sale in the DFW area.
