Sales of 428 pre-owned, single-family northwest Dallas suburban homes represented a 20.3 percent drop from September sales of 537 homes a year ago. Combined with the revised 4.1 and 4.9 percent sale volume decreases experienced during July and August, quarterly sale volume was off 8.7 percent.

So far, weak sales volume seems to be having little or no effect on the prices at which these homes are being sold. Homes sold during September showed a significantly higher level of appreciation than homes sold during August, 4.3 percent versus 1.4 percent. However, the number of homes listed for sale at the end of September also jumped significantly from the number of homes for sale the same time last year, so it seems likely that prices will begin to soften within the next few months.

About 2,115 previously owned single-family homes were listed for sale in the northwest Dallas suburbs at the end of September, according to data compiled by North Texas Real Estate Information Systems Inc. This is a 13.5 percent jump from the approximately 1,860 homes that were for sale at the end of September a year ago, and down only .5 percent from the approximately 2,125 homes for sale at the end of August.

In a complete reversal of the situation this past summer, the current combination of lower sales and more homes for sale has now pushed some portions of the northwest Dallas suburbs into “buyers' market” territory. The supply of pre-owned, single family homes listed for sale in the northwest Dallas suburbs jumped to 4.9 months during September, a whopping 38.2 percent increase over the 3.6 months supply of homes listed for sale during September a year ago. A five month supply of homes is generally considered the dividing line between buyers' and sellers' markets.

Though it may be the last month for a while that this occurs, home price appreciation continued to extend across all price ranges through September. The square foot price of a typical $250,000 northwest Dallas suburban home sold during the three months ending in September was $94.35, a 4.9 percent increase over the price at which a similar home sold a year ago. The typical $350,000 home sold for $105.49 per square foot, up 1.1 percent over a year ago, and the square foot price of the typical $450,000 home was $117.30 per square foot, a .5 percent increase over a year ago. The average square foot price of homes selling for less than $200,000 was up 3.0 percent and the square foot price of homes selling for more than $500,000 was up 1.5 percent.

The average length of time homes selling during September remained on the market was 49 days, about the same as in August, but still down 21.0 percent from the 62 average days on market seen during September last year.

The $279,400 median price of pre-owned homes sold during September in the northwest Dallas suburbs gained 2.2 percent on the $273,500 median price posted last September and was up 10.0 percent from the $254,000 median price homes sold for in this area during September two years ago.

Market Highs And Lows

The northwest Dallas suburbs with the largest annual increase in their three month average price ending in September were Flower Mound and Grapevine. Average price increases in both towns were 5.9 percent.

Southwest Frisco had the greatest average price decrease / lowest price increase. Homes there sold for 1.8 percent less than during September a year ago. West Plano did a bit better, eking out a 1.9 percent price increase.

Grapevine had the lowest inventory of pre-owned homes among the northwest Dallas suburbs, coming in at 2.3 months supply of homes available for sale. Trophy Club had the second lowest inventory with a 3.1 months supply of homes.

The Argyle, Bartonville, Copper Canyon and Double Oak area again had the highest inventory with 10.3 months supply of homes for sale. West Plano was next highest with 8.7 months supply of homes listed for sale.