Home prices in Dallas-Fort Worth are down about 8% in the fourth quarter from the market peak in mid-2022.
Median home sales prices in the area had fallen to $375,000 at the end of 2022 from a high of $408,200 earlier in the year, according to a report just released by the National Association of Realtors.
Home prices in North Texas and many other U.S. metropolitan areas have fallen since last summer due to rising mortgage rates and falling sales.
“A slowdown in real estate prices is underway and welcome, especially since the price of typical real estate has risen 42% over the past three years,” said Realtors chief economist, Lawrence Yun, in the report. “Far fewer metropolitan markets saw double-digit price increases in the last quarter.”
North Texas prices were still up 7.1% from the end of 2021 — and an increase that was nearly double the national rate, according to real estate agents.
Home prices were higher on an annual basis in nearly 90% of US markets tracked quarterly by the real estate trade group.
“Even with an expected reduction in home sales this year, prices are expected to remain stable in the vast majority of markets due to extremely limited supply,” Yun said. “Additionally, there are signs that buyers are returning as mortgage rates fall, even with inventory levels near historic lows.”
The largest price increases in the country at the end of 2022 were in Farmington, NM (20.3%) and Sarasota, Florida (19.5%).
Home prices in the fourth quarter fell every year in 20 metropolitan areas. The worst year-over-year price declines were seen in San Francisco (-6.1%) and San Jose (-5.8%).
Home prices in the Austin area fell 1.3% from fourth quarter 2021 levels.
A recent forecast from financial giant Goldman Sachs predicted that home prices in Austin — the highest in the state at a median of $478,900 — could drop 25%.
Austin prices have already plunged more than 20% since the second quarter of 2022, according to realtors.
Home prices in the Houston area rose 6.6% in the fourth quarter and 5.5% in the San Antonio area, real estate agents said.
The housing market has cooled, with mortgage costs more than doubling since the start of last year.
North Texas Home Sales were down 30% at the end of 2022.
And the prices have declined for five consecutive months.
D-FW home prices are expected to fall between 5% and 10% this year in a new estimated by Moody’s Analytics.