For the fourth straight month, the number of pre-owned northwest Dallas suburban homes sold was up significantly in June. The 748 MLS-listed homes reported sold represented a 24.7 percent increase over same month sales a year ago. This comes on the heels of a revised 24 percent increase in sales in May, a 44.7 percent increase in April, and a 24 percent increase in March. The 1,968 homes reported sold during the past three months are about 30 percent higher than home sales were in each of the past two years.

Higher priced homes market segments continue to show the highest growth rates. During the past three months, the number of homes selling for more than $500,000 was up by 89.1 percent over the same period a year ago. Sales of homes selling for $400,000 to $499,999 were up 59.6 percent and sales in $300,000 to $399,999 market segment were up 31.6 percent. The number of homes selling for $200,000 to $299,999 increased by 23.2 percent and homes selling for under $200,000 showed a 12.3 percent increase.

Also pointing to a stronger northwest Dallas suburban home market is that June was the sixth straight month the inventory absorption rate was lower than it was the preceding month. Pre-owned homes available for sale fell to a 3.5 months supply in June, down nearly 15 percent from the revised 4.1 months supply in May. This is a function of continued strong sales and the number of homes listed for sale remaining in the 2,500 to 2,700 range since late March.

Despite continued strong sales and falling inventory absorption rates, it still is taking more than 90 days on average to sell a home in the northwest Dallas suburbs of Southlake, Colleyville, Flower Mound, Coppell, southwest Frisco, west Plano, Keller, Highland Village, Westlake, Grapevine, Trophy Club, Argyle, Double Oak, Bartonville and Copper Canyon. As compared to the 91 to 92 days it has taken to sell a home in this area during the past three months, it required just 59 days on average to sell a home last year and 51 days the previous year.

Such long sales cycles are causing per square foot home prices to remain basically flat. For the three months ending in June, the price per square foot of the typical $250,000 home sold in this area was $88.74, up 1.5 percent over the same period a year ago. The typical $350,000 home sold for $99.99 per square foot, up .2 percent over a year ago, and price per square foot of the typical $450,000 home dropped .4 percent, to $113.92.

Nonetheless, it now seems to me the odds are better than even that this market is approaching a point where home prices will begin to increase, perhaps in a sustained manner. Anecdotal evidence suggests that in the past few weeks the more in demand homes are selling more quickly and at less of a discount than previously. Provided double digit sales volume increases continue through the summer, as now seems likely, I would expect to see some uptick in northwest Dallas suburban per square foot home prices within the next several months.

Second Quarter Average Home Prices / Housing Costs Now Available

A good way to see what homes currently are selling for in the various northwest Dallas suburbs is to click on this home prices link. If you are curious about what homes are selling for in the nearly 100 communities and neighborhoods profiled on my web site, click on this neighborhoods link. To find the average price per square foot, size and age of homes typically available in the northwest Dallas suburbs at various price points, click on this housing costs link.