The lack of houses for sale continues to drive home prices in North Texas and across the U.S.
Nationwide home prices rose practically 5% year-over-year in June– the biggest such increase in seven years– according to a report from CoreLogic.
Fort Worth-area prices increased more than 5% in the same duration. And in the Dallas area, rates were nearly 3.6% greater than in June 2019.
“Home cost gratitude continues at a torrid pace reflecting basic strength in need chauffeurs and affordability,” Frank Martell, president and CEO of CoreLogic, said in the report. “As we progress, we expect these price increases to moderate over the next 12 months.
“Offered the economic outlook, real estate stays an intense area for the foreseeable future.”
Taking a look at the major Texas metros, Austin had among the largest yearly house cost gains in the country– up more than 7% in June. Rates increased more than 4% in Houston and San Antonio.
Together with low inventories of homes for sale, a jump in buyer need is pumping up rates in numerous markets.
“Home mortgage rates struck record lows this spring, which developed affordability for homebuyers,” said Frank Nothaft, primary financial expert at CoreLogic. “First-time buyers, and millennials in particular, have actually leapt at the opportunity to accomplish homeownership.”
CoreLogic predicts that home prices will continue to rise nationally through the rest of 2020.
But some markets that have actually been hard struck by the COVID-19 pandemic are likely to see declines. Las Vegas is forecast to see a drop of more than 11% in home costs during the next year.